The Impact Of The Implementation Of Green Credit Policy On The Operational Performance Of The Listed Banks In China

In recent years, due to the irrational structure of construction projects and technological lag, environmental and social problems become much more serious, and huge economic losses were caused. Social conflicts occurred frequently, caused widespread concern in the community. Destruction of the ecological environment will directly increase the operating risk of commercial banks, threatening the long-term healthy development of commercial banks and squeezing their living space. Therefore, it is very important to find a new operational way to protect the environment and achieve sustainable development of commercial banks. In the background of advocating environmental protection and social and economic development in harmony, green credit has developed in China.This paper uses Chinese listed commercial banks as the research object. Based on the previous analyzes and studies, this paper try to find the impact of the implementation of green credit policy on the operational performance of 16 listed banks in China. Firstly, the profit and loss of green credit policy implementation are analyzed. Then it describes the operating performance of its impact mechanisms commercial banks to the implement of green credit policy. Analyst shows that the implement green credit policy of banks can reduce credit risks, resulting in a green reputation, and thus have a positive impact on their business performance. It provides theoretical support for the development of green credit.Secondly, this paper also describes the current situation of Chinese commercial banks’green credit policy implementation, and analyzes its problems. Although the development of China’s green credit has made considerable progress, but there are still many problems. Most of the banks regard green credit policy as a burden in the stage of passive acceptance, making the green credit policy enforcement and transparency in information disclosure unsatisfied. The fundamental reason is that the inherent power of implement green credit is inadequate. Bank has not really accepted green credit yet.From a practical point of view, the empirical part of this paper combines with business characteristics and the actual situation of China’s commercial banks, refers to the Equator Principles and domestic green credit policy, building an evaluation index system for green credit policy implementation of commercial banks in China, try to find the empirical relationship between commercial banks’ implementation of green credit policy and its operational performance. The test results show that there is some positive correlation between the enforcement of green credit policy and operational performance of the bank, and if a bank has developed comprehensive green credit policy, establishes effective accountability mechanisms of green credit, develops industry guidance policies, and actively makes new products, the impact of green financing operating performance is far better than not. This result provides empirical support of the future development of green credit in China.