Money in Motion: Financial Literacy, Fintech and Behavioural Insights in Emerging India (ISBN: 978-93-49468-66-5)

Synergizing Sustainability and Equity: The Role of Green Finance in Promoting Financial Inclusion

Author: Dr. Akanksha Jain

Environment Sustainability and social equity is the new mantra for an economy’s survival. The global world is now moving from the concept of rapid growth to long term sustainability. Building strategies that bring sustainability and encourage equity is the new pathway to a country’s growth and survival. The ever growing complications due to environmental degradation, change in climate and societal inequalities have made it important for economies to adopt a cohesive and unified growth strategies that will lead to environmental sustainability as well as social equity. Here Green finance and financial inclusion have emerged as two complementary, powerful practices and enablers to bring inclusive and sustainable growth. This study attempts at exploring and highlighting the interconnections and link between Green finance-sustainability- financial inclusion and social equity. The paper adopts a descriptive methodology. The study is descriptive in nature. It is an attempt to gain insights in the concept, dimensions and elements of Green finance and Financial Inclusion. It also attempts to understand how Green finance and financial inclusion together can lead to a more sustainable and equitable economy. This research proposes and argues that Green finance- a paradigm approach to environmental sustainability is most effective when it leads to inclusion of socially weaker population, bringing about financial inclusion and social equity for all. The findings show that green financial initiatives such as green microfinance, digital green banking and renewable energy financing can considerably increase financial access for lower income population and also encourage environmentally responsible behaviour. Moreover, the integration of financial inclusion within Green finance frameworks contributes to poverty reduction, income generation and livelihood enhancement thereby strengthening the broader goals of sustainable development.

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