Ecological Marketing: Development of Green Banking Products in Ukraine

The development of ecological marketing is driven by global ecological issues. Among the largest of these are global warming, food waste, loss of biodiversity, plastic pollution, deforestation, air pollution, and more. Awareness of these problems and the need to resolve them at various levels are prompting the emergence of international initiatives, such as the UN Convention on Climate Change and the Paris Agreements, which require signatory countries to take appropriate measures. That is, on the one hand, there is a State ecological policy that encourages business organizations to reduce their negative impact on the environment, and on the other hand, there is a growing ecological consciousness among consumers who prefer manufacturers that consider ecological factors in their operations. Moreover, the leadership of responsible business organizations is also aware of their impact on the environment and aims to minimize it or at least contribute to restoration. Ecological risks refer to risks caused by climate change and concerns about the state of the environment. The COVID-19 pandemic and military actions are worsening the ecological situation in Ukraine due to increased greenhouse gas emissions, pollution of air, water, and soil, and a decline in biodiversity, among other factors. As result, this will lead to losses for banks due to the deterioration of the quality of the loan portfolio, a decrease in the market value of assets, and so on. A key component of ensuring sustainable development and sustainable financing is the ecological factor. Accordingly, banking institutions should invest resources in ecological marketing initiatives, offer green banking products, provide preferential lending terms to ecological projects and sustainable businesses, and invest in green bonds, among other measures. This allows not only to contribute to the preservation of the environment but also to open up new opportunities for the development of financial services. Banks that integrate ecological principles strengthen their reputation and attract socially responsible clients, shaping the future of the financial sector.