Money, when aligned with intent, can become a force for long-term good. That’s the quiet shift happening in the world of finance today. At its heart, sustainable finance is about channeling capital toward activities that not only generate economic value but also contribute positively to environmental and social outcomes. It’s where financial decisions meet responsibility, where profit and purpose co-exist.
A major part of this shift is seen in the rise of ESG investing. Environmental, Social, and Governance metrics offer a broader lens through which companies are being evaluated beyond quarterly results and shareholder returns. It’s about how a business operates, treats its people, uses natural resources, and governs itself.
India, with its young population, growing climate awareness, and strong fintech ecosystem, is at a unique inflection point. From green bonds and ESG mutual funds to sustainability-linked lending, the ecosystem is quietly expanding. Companies are starting to embed ESG considerations into their strategies not just to check a box, but to stay resilient and future-ready.
Of course, it’s still early days. There’s a need for greater transparency, standardized metrics, and real accountability. But the trajectory is promising.