Banking for a Better World

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Bridging Finance and Responsibility with ESG

ESG (Environmental, Social, and Governance) is a framework that evaluates how businesses impact the environment, society, and governance. Banks are increasingly focusing on ESG due to its potential for business growth, improved access to capital, regulatory compliance, and enhancing their brand and ethics. Banks offer sustainable products and services such as loans, insurance, and equity investments, with emerging tools like Carbon Financing valuing carbon emissions. However, implementing ESG presents challenges like transition costs, integration into operations, educational gaps, differing ESG scoring methods, data limitations, and the risk of greenwashing.