Research On The Problems And Countermeasures Of Industrial Bank's Carbon Finance Business

Since the 21 st century,environmental issues have been regarded as one of the biggest problems in the development of human society in the world,especially the global climate change caused by pollution emissions and greenhouse gas emissions.Therefore,the focus of development in various countries has shifted from gradually focusing on economic development to sustainable development,and China is also a practitioner of global sustainable development.Since President Xi Jinping took office,the central government has gradually issued a series of environmental protection policies.Increased local government's efforts on environmental protection,which further shows that sustainable development is the general trend.Therefore,in order to cope with climate change and reduce carbon emissions,large banks and financial institutions around the world have launched some low-carbon financial products.For the application of low-carbon financial products,the early participating banks in China were mainly led by Industrial Bank.This article mainly takes Industrial Bank's carbon finance business as a starting point,and studies Industrial Bank's energy saving and emission reduction project loans for SMEs,Equator Principles project investment,carbon financial product innovation,and carbon financial business development achievements.After conducting in-depth comparison and analysis with banks in the same industry and Citibank,the advantages and disadvantages are analyzed,and the risk sources of carbon finance business are further analyzed.On this basis,Industrial Bank's carbon finance business is analyzed.The input and output of the above were analyzed empirically using the DEA method to study the efficiency of Industrial Bank's carbon finance,and based on the comparative analysis of Industrial Bank and Citibank and banks in the same industry,analyze the problems of Industrial Bank in the development of carbon finance business,and Analyze the deep-seated reasons for these problems,and put forward targeted suggestions from the government level and the bank level to address the problems in Industrial Bank's carbon finance business.The study in this paper found that Industrial Bank actively responded to national policies in developing carbon finance business and invested a lot of money to develop carbon finance business and product innovation.However,in the development of recent years,the use of funds has not reached Pareto optimal.It is a waste,and thereason restricting the development of Industrial Bank's carbon finance business is not only the Industrial Bank's own reasons,but also external factors restricting its development,which makes other commercial banks discouraged from participating in the carbon finance business.Therefore,not only should Industrial Bank pay more attention to the development of carbon finance business,but it also needs the government to provide a good market environment to promote the rapid development of the carbon finance market.