Examining the demand side factors of green banking adoption – a study exploring the case of Oman

Purpose - Commercial banks are the financial powerhouses of a nation that can create a penetrating impact at the grassroots level. This study aims to investigate the demand-side drivers of green banking purchase intention by extending the popular theory of planned behavior (TPB) model. Design/methodology/approach - This study used a mono-method research approach to collect customers’ cross-sectional responses using structured questionnaires. The data were further analyzed using CB-SEM. Findings - This study points out that attitude, subjective norms, perceived behavioral control and environmental concern are demand-side factors that drive the intention of individual customers to adopt green banking services. The moderating roles of collectivism, age and gender are also discussed in this study. Research limitations/implications - The present study’s results suffer from mono-method bias as they are based on primary data analysis alone. This limitation can be addressed by incorporating a mixed-method approach. Practical implications - Several policy suggestions are offered based on the findings on improving green banking adoption among individual customers. The proper incorporation of these guidelines will expedite a nation’s aspirations for sustainable economic growth. Originality/value - To the best of the authors’ knowledge, this is the first study to explore the demand-side factors that drive Omani customers’ intention to adopt green banking. Moreover, this study extends the TPB with environmental concern and personal values to examine the green banking adoption by individual customers.