Bankers’ perception of Green Banking: Learning from the experience of Islamic banks in Bangladesh
Authors
Mohammad Masukujjaman
Institute of Environment and Development, The National University of Malaysia, 43600 UKM Bangi, Selangor, Malaysia
Chamhuri Siwar
Institute of Environment and Development, The National University of Malaysia, 43600 UKM Bangi, Selangor, Malaysia
Md. Reaz Mahmud
Faculty of Business, Northern University Bangladesh, Dhanmondi, Dhaka, Bangladesh
Syed Shah Alam
Faculty of Economics and Management, The National University of Malaysia, 43600 UKM Bangi, Selangor, Malaysi
Abstract
Malaysia once replicated Bangladesh’s trail-blazer Grameen Bank to establish its Amanah Ikhtiar model of Islamic banking for the poor. Now, it may also learn some useful things from Bangladesh’s Islamic Green Banking. In this light, this study analysed the bankers’ perceptions of the green banking concept, its benefits, its complexities of execution, and its possible relationship with Islamic banking. This is an empirical study of 48 Islamic bankers from 21 branches of seven Islamic banks located in Dhaka, Bangladesh employing structured questionnaires. Data purification and analysis were carried out through a software SPSS version 1; and Henry Garrett’s ranking technique was used to gauge the most influential factors. The analysis revealed that respective bankers perceived green banking as an environmental banking that helped to protect the environment despite its high adoption cost. Also, green banking and Islamic banking were perceived to be compatible and interlinked as Islam supports resource savings, cleanliness, ethics and social responsibility all of which are also the mottos of Green Banking. Keywords: adoption cost, bankers’ perception, Green Banking, Islamic banks, resource savings, sustainable development
