Examining Awareness and Preferences for Green Finance Among Commercial Banks in Somalia

Abstract

Climate change has received substantial attention from policymakers and academicians; hence, demonstrating the importance of environmental conservation. Fossil fuel energy use for industrialization and urbanization curtails environmental quality. This highlights the urgent need for green financing in green technologies and clean energy to preserve environmental quality. Contrary to the previous attempts that focus on the importance of green finance for mitigating climate change without examining how well-versed people are in the idea of green finance; however, this study aims to examine the awareness and preference for green finance among staff of commercial banks in Mogadishu, Somalia using a descriptive statistics research design. The results indicate more than 75% of the respondents are very familiar or familiar with green finance. However, less than 25% are unfamiliar with green finance. the result also indicates that the majority of the respondents prefer green finance more than 65% and just over 14% said they do not prefer green finance. Therefore, policymakers should implement policies aimed at reducing uncertainty and providing the banks with a conducive environment in green financing.