Policy Implications for Green Banking Development in Vietnam

Abstract

Purpose:  The article studies the factors affecting the development of green banking in Vietnam. Based on the research results, the authors proposed policy implications that contribute to the development of green banking in Vietnam.   Theoretical framework: The article studies the factors affecting the development of green banking in Vietnam. Based on the research results, the authors proposed policy implications that contribute to the development of green banking in Vietnam.   Design/methodology/approach: To survey the level of understanding of bank managers on issues related to green banking, green banking development, and the level of knowledge of officers and employees about green banking development areas, The authors used qualitative and quantitative methods. Quantitative research was carried out from January to February 2023. The authors used structural equation model analysis to test the fit of models with SPSS 20.0 and Amos.   Findings: Quantitative and qualitative indicators have been introduced to measure the development of green banking and the economy. The factor of banking technology has the most substantial impact on the development of green banking and the economy. This is a new research paper finding in the context of the banking industry's digital transformation.   Research, Practical & Social implications: The study also shows that green banking development depends on financial capacity, supporting policies, legal framework, and state regulations. In addition, the study has included the factors of green banking development affecting the green economy from different approaches and analytical methods to evaluate.   Originality/value: Developing green banks not only brings profits but also helps banks increase their prestige, reputation, and value. In addition, the development of green banking associated with the green economy is not only a form but will become the core value of the bank, recognized and appreciated in the trend of integration and sustainable development