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Green credit, bank competitiveness and bank risk-taking

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  • Wu, Meixuan

Abstract

With the gradual improvement of people's environmental awareness, the government and various social groups have begun to realize the importance of green credit. Green credit is an important tool of green finance and a bridge to introduce commercial banks into environmental control, while enhancing core competitiveness is the intrinsic motivation for commercial banks to carry out green credit business. The article takes 22 commercial banks as research samples, selects data from 2009 to 2023, constructs commercial bank competitiveness scores, explores the relationship between green credit and commercial bank competitiveness, and applies the mediation effect model to test the role of risk-taking in it. It is found that green credit can significantly enhance the core competitiveness of commercial banks, and the risk-taking indicator produces a significant mediating effect. Therefore, the development of green credit has become a powerful weapon for commercial banks to enhance their competitiveness.

Suggested Citation

  • Wu, Meixuan, 2025. "Green credit, bank competitiveness and bank risk-taking," International Review of Economics & Finance, Elsevier, vol. 103(C).
  • Handle: RePEc:eee:reveco:v:103:y:2025:i:c:s1059056025006446
    DOI: 10.1016/j.iref.2025.104481
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