Green Banking in Kazakhstan: Potential, Formation, Directions of Development

Abstract

The purpose of the research is to analyze the problems and prospects for the development of «green» financing and banking in Kazakhstan and to propose directions for stimulating banks to finance «green» economy projects.Methodology – in the course of the study, the methods of critical analysis, logical generalization, systematization and grouping of information are used. Scientific publications of domestic and foreign authors are the basis of the research.Originality / value of the research – the results of the study can be applied in Kazakhstan in improving the state regulation of responsible activity of banks with a view to stimulating their participation in financing the «green» economy.Findings – the essence of «green» banking is considered and the role of banks in financing projects of the «green» economy is defined; the structure and condition of the banking sector of Kazakhstan are analyzed, and the factors inhibiting the emergence of «green» banking are identified. It is noted that banking regulators, with appropriate public policies, could facilitate the channeling of financial resources to environmental projects by regulating banks, for which monetary policy and macro-prudential policy instruments can be used. It is concluded that development of «green» banking is extremely important for development of «green» technologies, financing of ecologically clean production, ensuring goals of sustainable development of the economy of Kazakhstan.