Research On The Development Of Green Finance Business Of Commercial Banks Based On Value Engineering

With the rapid development of the global economy,environmental issues have become increasingly prominent.In order to effectively control the environment,the financial green revolution is quietly emerging.China's commercial banks occupy more than 85%of the financial resources of the market,which is the core of China's financial system and the allocation of economic resources.This paper takes the green finance business of commercial banks as the research object,applies the value engineering theory,adopted literature research method,case study method,qualitative and quantitative research method and comparative research method,and carries out the application research of value engineering in the green finance business of commercial banks through theoretical analysis and case analysis.First of all,this paper reviews the concept and connotation of green finance,the main tools and policies,and the development and application of value engineering theory.At the same time,it conducts expert interviews,research and data collection for the green finance business of commercial banks in China.Secondly,a case study of commercial banks'green finance business was conducted with Industrial Bank as an example.Thirdly,this paper conducts in-depth analysis and application research on green credit business and green bond business based on value engineering.1)For the green credit business,define its functions as:generating profits,reducing carbon emissions,and improving reputation.The following suggestions are proposed for the function of value coefficient less than 1:standardizing credit assessment and risk control processes.Establishing and improving relevant laws and regulations of the government.Other domestic banks need to do more in environmental and social responsibility.2)For the green bond business,define its functions as:preparation of projects,compliance with requirements,investment projects,post-loan management,and propose the following suggestions for functions with a value coefficient of less than 1:improving transparency.Simplifying the approval process for green bond issuance.Improving the standardization certification system.Implementing policies to support the development of green bonds.Through theoretical analysis and case study,this paper demonstrates the feasibility and effectiveness of value engineering in the commercial banks' green finance business.While expanding the application scope of value engineering,the following management implications are proposed for commercial banks to enhance the value of green financial business:1)Bank level:Commercial banks should actively participate in international green financial principles such as equator principles.In addition,commercial banks need to develop an integrated system of environmental risk management,establish a sound institutional system,improve the transparency of environmental information disclosure,innovate green financial products to meet market demand,and improve the capacity building of bank employees.2)Government level:Establish and improve relevant government laws and regulations.Require commercial banks to disclose relevant data and formulate policies to encourage the development of green finance.