Empirical Analysis of Supply of and Demand for Green Finance in Indonesia
It is clear that the Indonesian financial sector will have to play a pivotal role in channelling the required resources to finance the green transformation. However, so far we observe that green banking is hardly existent in Indonesia and beyond theoretical considerations there is very little empirical evidence to explain this underperformance. Moreover, there is only limited knowledge about the potential demand for green finance from Indonesian companies. To fill these knowledge gaps our empirical analysis investigates two research questions: (1) What are the bottlenecks for banks to provide green finance and for companies to invest in green projects? (2) Which policies and instruments could help enhance green investments?
KeywordsEnergy Efficiency Green Investment Energy Audit Green Transformation Energy Subsidy
Unable to display preview. Download preview PDF.