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100 _aHerwadkhar, Snehal S. Dhingra, Sambhavi Goel, Sonali and Nair, Rahul
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245 _aAre greens healthy for banks’ balance sheets?
260 _aEconomic & Political Weekly
300 _a60(12), Mar 12-22, 2025: p.61-70
520 _aThere is an urgent need to channel lending towards green sectors to address climate change. The relationship between green lending by banks and their asset quality and profitability is examined using a data set of 33 Indian banks from March 2015 to December 2022. The findings reveal a negative relationship between banks’ green lending share and non-performing assets ratio, while higher green lending correlates with improved profitability. Results suggest that the positive association between higher green credit and return on assets occurs when the green credit share of 14.8% is crossed. A negative relationship with the NPA ratio is evident when the green credit share surpasses 38.4%. – Reproduced https://www.epw.in/journal/2025/12/special-articles/are-greens-healthy-banks-balance-sheets.html
773 _aEconomic & Political Weekly
942 _cAR