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Banks (Finance)

Fostering Sustainable Environmental Performance Through Green Banking Practices

Strategic Insights

— 1 min read

Recent research from the School of Business Administration in Chittagong, Bangladesh has investigated the correlation between green banking practices and sustainable environmental performance in private banks. The study found that employees' green motivation and behavior play a crucial role in linking green practices to a bank's environmental performance. The research, published in Sustainability, used a quantitative research method and analyzed data from 376 respondents using PLS software. The findings provide valuable insights for Bangladesh's banking sector, highlighting the importance of green motivation and behavior in achieving sustainable environmental performance.

Key Takeaways:

  • The study aimed to investigate the correlation between green banking practices and sustainable environmental performance in private banks.
  • A quantitative research method was used to test the study hypotheses, with a standardized questionnaire consisting of a 5-point Likert scale.
  • The sample size consisted of 376 respondents, who were conveniently selected.
  • The main finding was that employees' green motivation mediated the link between employee-related and customer-related green practices and a bank's environmental performance.
  • Employee green behavior also mediated the link between employee-related, operation-related, and customer-related green practices and a bank's environmental performance.
  • The study concluded that it provides a comprehensive overview of green banking practices, employee green motivation and behavior, and their connections to banks' sustainable environmental performance.
  • The research highlights the importance of employee green motivation and behavior in achieving sustainable environmental performance in private banks.
  • The study suggests that Bangladesh's banking sector can benefit from adopting green banking practices, employee green motivation, and behavior to improve their environmental performance.

Statistics:

  • The study sample size consisted of 376 respondents.
  • The study used a 5-point Likert scale to collect data for the survey.
  • The study used PLS software (Version 4.0) to analyze the data.
  • The study found a significant correlation between employee-related and customer-related green practices and a bank's environmental performance.
  • The study also found that employee green behavior has a mediating effect on the link between employee-related, operation-related, and customer-related green practices and a bank's environmental performance.

Sources:

  • Fostering Sustainable Environmental Performance Through Green Banking Practices: the Mediating Role of Employees' Green Motivation and Green Behavior. Sustainability, 2025;17(8):3750.
  • NewsRx. Reports on Sustainability Research from School of Business Administration Provide New Insights (Fostering Sustainable Environmental Performance Through Green Banking Practices: the Mediating Role of Employees' Green Motivation and Green Behavior). Ecology, Environment & Conservation. May 30, 2025; p 453.

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