THE IMPACT OF GREEN FINANCING ON BANKS' REPUTATION

Green financing has emerged as a crucial mechanism through which banks align their operations with sustainable development priorities. This paper examines the relationship between green financing-mainly through green loans and green bonds-and banks’ reputational capital. Using a qualitative review of recent industry reports, case studies, and empirical evidence from global and regional contexts, the study finds that green financing significantly enhances banks’ reputations, fosters public trust, and strengthens stakeholder relations. The results suggest that banks that prioritize sustainability in their financing portfolios are perceived as more socially responsible and competitive in global markets.