THE IMPACT OF GREEN FINANCE INSTRUMENTS ON THE STABILITY OF THE NATIONAL BANKING SYSTEM AND ECONOMIC DEVELOPMENT

Authors

  • Ermuminov Elbek Erkin ugli Student of the Faculty of Economics of Karshi State University Author

Keywords:

Green finance, Sustainable banking, Financial stability, Green bonds, Climate-related financial risks, Banking system resilience, Sustainable investment, Economic development, Environmental finance, Risk management

Abstract

This article analyzes the impact of green finance instruments on the stability of the national banking system and economic development under sustainable development conditions. The study applies a qualitative analytical approach to examine how green bonds, sustainable lending, and environmentally oriented financial products influence risk management, credit allocation, and long-term financial resilience. The findings indicate that green finance instruments contribute to banking system stability by reducing climate-related financial risks and improving asset quality. At the same time, green finance supports economic development by channeling investment into sustainable sectors, promoting innovation, and enhancing long-term growth potential.

References

1.United Nations Environment Programme. Green Finance Progress Report. Nairobi: UNEP Finance Initiative, 2017.

2.World Bank. Climate Finance and the Financial Sector: Opportunities and Challenges. Washington, DC: World Bank Publications, 2020.

3.Organisation for Economic Co-operation and Development. Green Finance and Investment: Mobilising Capital for Sustainable Growth. Paris: OECD Publishing, 2017.

4.International Monetary Fund. Climate Change and Financial Stability. Washington, DC: IMF Publications, 2021.

5.European Central Bank. Climate Change and the Financial Sector. Frankfurt: ECB Economic Bulletin, 2020.

6.Scholtens, B. Finance as a Driver of Corporate Social Responsibility. Journal of Business Ethics, Vol. 68, No. 1, pp. 19–33, 2006.

7.Campiglio, E. “Beyond Carbon Pricing: The Role of Banking and Monetary Policy in Financing the Transition to a Low-Carbon Economy.” Ecological Economics, Vol. 121, pp. 220–230, 2016.

Downloads

Published

26-05-2026

Issue

Vol. 3 No. 5 (2026): ZAMONAVIY ILM-FAN VA TA’LIM: MUAMMO VA YECHIMLAR

Section

Articles

How to Cite

THE IMPACT OF GREEN FINANCE INSTRUMENTS ON THE STABILITY OF THE NATIONAL BANKING SYSTEM AND ECONOMIC DEVELOPMENT. (2026). ZAMONAVIY ILM-FAN VA TADQIQOTLAR: MUAMMO VA YECHIMLAR, 3(5), 297-303. https://innoworld.net/index.php/ziftmy/article/view/2572