Advertisement

From Transaction-Based to Mainstream Green Finance

  • Marco Migliorelli
  • Philippe DessertineEmail author
Chapter
Part of the Palgrave Studies in Impact Finance book series (SIF)

Abstract

Market-based dynamics can play a significant role in the development of green finance. Nevertheless, they will be unlikely effective to mobilise a sufficient amount of resources to properly contribute to finance the most ambitious environmental goals. This chapter analyses the main areas of intervention in the attempt to mainstream green finance, by pointing out in particular the importance of coherently factoring-in environmental risks in investors’ decision-making processes, of effectively channelling the market demand towards green securities, of encouraging the banking sector to embrace green finance and of pushing policy makers to promote and support green investments.

References

  1. Anselmsson, J., Bondesson, N. V., & Johansson, U. (2014). Brand image and customers’ willingness to pay a price premium for food brands. Journal of Product and Brand Management, 23(2), 90–102.CrossRefGoogle Scholar
  2. Arezki, R., Bolton, P., Peters, S., Samama, F., & Stiglitz, J. (2017). Financing infrastructure. Economic Policy, 32(90), 221–261.CrossRefGoogle Scholar
  3. Basel Committee on Banking Supervision (BCBS). (2014, December). Revisions to the Basel securitisation framework. Basel.Google Scholar
  4. Beck, T., Demirgüç-Kunt, A., & Martínez Pería, M.S. (2009). Banking SME around the world: Lending practices, business models, drivers and obstacles. World Bank Policy Research Working Paper, 4785.Google Scholar
  5. Caballero, R. J., & Krishnamurthy, A. (2009). Global imbalances and financial fragility. American Economic Review, 99(2), 584–588.CrossRefGoogle Scholar
  6. Cardone-Riportella, C., Samaniego-Medina, R., & Trujillo-Ponce, A. (2010). What drives bank securitisation? The Spanish experience. Journal of Banking and Finance, 34, 2639–2651.CrossRefGoogle Scholar
  7. Climate Bonds Initiative. (2018, October). Green bonds market summary, Q3 2018. London.Google Scholar
  8. Cornée, S., Fattobene, L., & Migliorelli, M. (2018). An overview of cooperative banking in Europe. In M. Migliorelli (Ed.), New cooperative banking in Europe. Strategies for adapting the business model post-crisis. London: Palgrave Macmillan.Google Scholar
  9. Duffie, D. (2008). Innovations in credit risk transfer: Implications for financial stability. BIS Working Paper, 255.Google Scholar
  10. EBF. (2012). EU’s banking sector: The world’s largest banking system. Facts and figures 2011/2012. Brussels.Google Scholar
  11. European Commission (EC). (2015, September). Proposal for a regulation of the European Parliament and of the council laying down common rules on securitisation and creating a European framework for simple, transparent and standardised securitization. Brussels.Google Scholar
  12. European Commission (EC). (2018). Action plan: Financing sustainable growth, COM(2018) 97 final. Brussels.Google Scholar
  13. Farruggio, C., & Uhde, A. (2015). Determinants of loan securitization in European banking. Journal of Banking and Finance, 56, 12–27.CrossRefGoogle Scholar
  14. Friede, G., Busch, T., & Bassen, A. (2015). ESG and financial performance: Aggregated evidence from more than 2000 empirical studies. Journal of Sustainable Finance and Investment, 5(4), 210–233.CrossRefGoogle Scholar
  15. Intergovernmental Panel on Climate Change (IPCC). (2018). Special report. Global warning of 1.5 °C. Geneva.Google Scholar
  16. International Monetary Fund (IMF). (2015, January). Securitization: The road ahead. IMF Staff Discussion Note.Google Scholar
  17. Keys, B. J., Mukherjee, T., Seru, A., & Vig, V. (2009). Financial regulation and securitization: Evidence from subprime mortgage loans. Journal of Monetary Economics, 56, 700–720.CrossRefGoogle Scholar
  18. Lancet. (2017, October). The Lancet Countdown on health and climate change: From 25 years of inaction to a global transformation for public health. London.Google Scholar
  19. Loan Market Association (LMA). (2018). Green loan principles. London: United Kingdom.Google Scholar
  20. Mian, A., & Sufi, A. (2009). The consequences of mortgage credit expansion: Evidence from the 2007 mortgage default crisis. Quarterly Journal of Economics, 124(4), 1449–1496.CrossRefGoogle Scholar
  21. Migliorelli, M. (Ed.). (2018). New cooperative banking in Europe. Strategies for adapting the business model post-crisis. London: Palgrave Macmillan.Google Scholar
  22. Migliorelli, M., & Dessertine, P. (2018). Time for new financing instruments? A market-oriented framework to finance environmentally friendly practices in EU agriculture. Journal of Sustainable Finance and Investment, 8(1), 1–25.CrossRefGoogle Scholar
  23. Organisation for Economic Cooperation and Development (OECD). (2018, November). Developing robust project pipelines for low-carbon infrastructure. Paris.Google Scholar
  24. United Nations Environment Programme (UNEP). (2016. September). Definitions and concepts. Background note. Inquiry Working Paper 16/13.Google Scholar

Copyright information

© The Author(s) 2019

Authors and Affiliations

  1. 1.IAE Université Paris 1 Panthéon-Sorbonne (Sorbonne Business School)ParisFrance
  2. 2.European CommissionBrusselsBelgium

Personalised recommendations