Consumer education on green banking for sustainable environment

It is a well known fact that the banking sector forms the backbone of any country with significant contribution towards GDP. However the banking sector is facing a plethora of challenges on its course of development. The rising awareness on climate concern with environmental regulations coming into the light, the Paris Agreement urging institutions to make the economic transition toward sustainability are the major constraints faced by the banking sector today. It chooses to sort out and study the opportunities in a changing retail banking environment, investigating what green banking products’ customers anticipate from their bank and how the introduction of green banking product might affect customer loyalty. 200 individuals were engaged in the study and their responses were analysed through the development of a customer loyalty framework from the literature gathered. The results showed a positive attitude by customers towards green banking products while also not indicating a clear preference or desirability for a specific product. In addition to this, this study found a positive relationship between the introduction of green banking products and increased customer loyalty. The study came to the conclusion that green banking products suggestively have an advantageous position in the evolving financial sector.