Conceptual foundations of the green finance mechanism: current experience and development trends

Abstract

The principles of green finance and social investment are relevant directions not only from the point of view of studying practical experience, but also the formation of theoretical and methodological aspects of the conceptual platform of resource-saving technologies and sources of their financing. Today, the global transformation toward clean development requires a reconsideration of many aspects of economic activity, but it especially requires a reworking of the financial architecture of the global economy and a shift in emphasis from problems of economic efficiency to sustainability and resource conservation. In the global context, the issues of financing the universal greening of economic relations at every level require, firstly, the involvement of an increasing number of participants in this process, and secondly, they require not only a formal declaration of participation in the green movement, but also confirmation through the implementation of appropriate public policies in each of the fields of economic relations. Moreover, the supranational policy documents adopted at the 11th G20 Summit on September 4-5, 2016 in PRC have prioritized the green finance development at the national and regional levels to achieve the Millennium Development Goals or 17 Sustainable Goals. It should be noted that in the context of Russian practice the green finance mechanism is developing quite dynamically, there is a comprehensive redesign of the financial architecture and national features emerge that somehow identify the Russian financial system in the context of green finance and social investment, which undoubtedly acts as a relevant research area and requires approaches of an applied nature. Determination of the fundamental features and specifics of the green finance mechanism will allow to formulate a comprehensive program of effective transformation of the entire economy in the direction of green growth and sustainable development. This study attempts to systematize the conceptual foundations of green finance in modern transformational practice and identify the problem field of research, actualizing the most important aspects of the entire financial ecosystem from the perspective of rational choice and capital-saving production.