What is Green Projection

Green finance is currently gaining importance with the growing global resistance to climate change. However, there is limited empirical evidence supporting green finance and economic development nexus considering environmental issues. Despite the fastest growing economy in Asia, Bangladesh still has ambiguity about the role of green finance on sustainable economic growth, though it is already initiated in Bangladesh. Therefore, applying correlation matrix and Granger causality test, this chapter aims to overview the present scenario and identify the role of green finance on sustainable development in Bangladesh from 2014-2019. Hence, it considers GDP growth and CO2 emissions for economic development and climate change issues, respectively, and green finance as the proxy of greening. This study finds that renewable energy consumption and power generation from renewable and waste contribute to green growth. Hence, this study suggests green finance for sustainable development not only in Bangladesh but also in other emerging economies.