Green Banking: Development of a Higher Order Construct

Abstract

This study proposes the development of Green Banking as a Higher-order construct consisting of ten reflective lower-order constructs. The operationalization of the Green Banking construct has been proposed based on the data triangulation technique, examining data from several secondary sources. Information on Green Banking has been sourced from a range of published academic literature, regulations and guidelines from different countries, policies from individual banks, as well as environmental regulations from various international organizations and websites. The proposed research framework consists of ten propositions based on the reflective lower-order constructs. This study attempts to fill the gap in the development of a conceptual framework for the Green Banking construct by proposing the operationalization of this ideology as a higher-order construct. The proposed research framework can be empirically examined in various banking industries and provide useful insights into the various dimensions of Green Banking.