Examine the Level of Awareness in Green Banking Practices: Experience from Somalia

Abstract

The main objective of this study is to understand the level of awareness and green banking practices in Somali banks. This study focuses on the level of awareness of green banking practices, daily operations, investments, and banking policies related to green banking in Somalia. This study adopted a quantitative research method by using descriptive analysis. An adopted and self-administered questionnaire was distributed to 226 Somali bank employees. Convenience sampling was used to select the respondents and data was analyzed by employing Statistical Package for the Social Sciences (SPSS) 23. It was found that Somali bank employees have a poor level of awareness about green banking practices. Daily operations in green banking, investments in green banking, and banking policies related to green banking all showed low levels of green banking practices. As long as the majority of respondents claimed their banks don't offer any green products, it was also discovered that Somali banks only offer a small number of green products. The results of this study will help government officials and bank executives in Somalia in reducing climate change risk and eventually promoting environmental sustainability and sustainable banking practices. By raising awareness of green banking practices in Somalia, the survey adds to the literature.