Green Finance: Tax Incentives, Challenges, and Future potential

Abstract

Green finance serves as a comprehensive framework encompassing diverse financial instruments tailored to support socially and environmentally responsible endeavors. This chapter explores the core objectives of green finance, emphasizing its role in fostering investments in enterprises, initiatives, and innovations with positive environmental footprints. By combatting the adverse effects of climate change, green finance paves the path towards advanced sustainable development and facilitates the transition to a low-carbon economy. Furthermore, this chapter elucidates the concept of green finance alongside the associated tax incentives, exploring their genesis, requirements, and advantages. Additionally, it outlines the various challenges and constraints confronting the field of green finance, underscoring the imperative of implementing strategies to fortify its robustness, viability, and efficacy.