The banking sector is a leader in ensuring climate-resilient and sustainable development, as climate change has become one of the most serious systemic risks to global financial systems. This study examines the alignment of the Indian banking sector with primary international climate policies, including the Paris Agreement, the UN Principles for Responsible Banking (UN PRB), the AICPR Principles (EP), the Task Force on Climate-related Financial Disclosures (TCFD), and the Green Bond Principles (GBP). The fundamental aims are to determine the relevance between international and national models, evaluate the degree of adoption by Indian banks, and assess regulatory readiness and operational issues. The literature review underlying the analysis was conducted following the PRISMA 2020 approach, considering both the existing literature on the topic, regulatory circulars, and sustainability reports of all listed companies available during the period from 2015 to 2025. Data from peer-reviewed journals, RBI and SEBI documents, ESG reports of the central banks of India, and official documents related to the climate framework were used to develop a protocol compliance matrix. The results indicate inconsistent and incomplete compliance: on the one hand, standardised foreign banks, including DFC Bank and Axis Bank, reveal proactive behaviour towards various protocols and standards, such as the TCFD and UN PRB; on the other hand, the compliance of change towards advancing them. The main limitations are associated with the lack of a national-level green tax establishment and standardised ESG disclosure requirements, as well as the insufficient capacity of institutions in terms of climate risk management. The research suggests implementing compulsory reporting of the financial impacts of climate change, advancing the green taxonomy in India, expanding the use of the Equator Principles, and establishing climate risk training hubs. As a consequence, they need to address these aspects to fulfil the global sustainability goals, prevent jeopardising the ecosystem, and maintain it for a prolonged period, both globally and in India.
