«Green» Finance: The Concept and System

The paper is devoted to the concept of «green» finance. Based on the analysis of the points of view available on this issue, the author concluded that «green» finance can be defined using a narrow approach (as bonds, loans and other financial instruments aimed at financing activities to ensure sustainable development of the environment) and a broad approach (as the whole complex of economic relations related to financing measures to protect the environment and combat climate change). The paper also defines the types of social relations that make up «green» finance that are included in the subject of financial law, classifies mandatory payments related to ecology and the environment, concludes which payments can be classified as «green», highlights climate risks of financial organizations and types of «green» financial instruments. The author makes proposals for further improvement of the climate risk management mechanism in the financial market.