Sustainable supply chain financing has emerged as a pivotal strategy in contemporary business paradigms, aiming to harmonize economic growth with environmental stewardship and social responsibility. This review delves into the integration of banking mechanisms within sustainable supply chain financing models to foster enhanced sustainability across diverse industries. In recent years, the concept of sustainability has gained momentum, prompting organizations to reevaluate their operational frameworks to mitigate environmental impacts and address societal concerns. Supply chain financing, a financial tool facilitating transactions among interconnected entities within the supply chain, plays a crucial role in advancing sustainability objectives. By integrating banking institutions into these models, businesses can leverage financial expertise, resources, and networks to bolster sustainable practices throughout the supply chain. This review explores various dimensions of sustainable supply chain financing models, highlighting the significance of banking integration. Firstly, it elucidates the evolving landscape of sustainability in supply chains, emphasizing the imperative for concerted efforts to reconcile profitability with environmental preservation and social welfare. Secondly, it examines the multifaceted benefits of integrating banking institutions into supply chain financing mechanisms, including access to capital, risk mitigation, and expertise in sustainable finance. Moreover, the review discusses the emergence of innovative financial instruments such as green bonds, sustainability-linked loans, and supply chain finance programs tailored to promote sustainability goals. These instruments not only provide financial incentives for sustainable initiatives but also foster transparency and accountability throughout the supply chain ecosystem. Furthermore, the review addresses challenges and opportunities associated with integrating banking into sustainable supply chain financing, including regulatory complexities, technological advancements, and stakeholder collaboration. It underscores the need for strategic partnerships between businesses, financial institutions, and regulatory bodies to navigate these challenges effectively and realize the full potential of sustainable supply chain financing. The integration of banking institutions into sustainable supply chain financing models presents a promising avenue for advancing sustainability agendas across industries. By harnessing financial innovation and collaboration, organizations can foster resilience, efficiency, and ethical conduct within their supply chains, contributing to a more sustainable and inclusive global economy.