Abstract
Environmental risks and their impact on financial and non-financial indicators of the bank are analyzed in the article as well as what kind of mechanisms may be used in order to perform assessment and monitoring of environmental risks. On the basis of the existing lending assessment system in the commercial banks, a new lending assessment structure was created, where factors related to environmental risks as well as mechanism of their assessment were included.The lending assessment mechanism developed by the authors will take an important role in further lending decision making process in each of the commercial banks, performing the assessment of environmental risks.The research data were obtained from commercial banks to the public available information, as well as the banks`s internal work out documentation and procedures that were collected, and based on the information and other European banks good practices and experience was created by environmental factors affecting risk assessment process mechanism and its monitoring.DOI: http://dx.doi.org/10.5755/j01.em.17.2.2206
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