Equatorial Bank's Foreign Experience And Domestic Practice

With the development of China's economic development speed,the contradiction between resource environment and economic development has become increasingly prominent.The development of green finance is an important measure to resolve contradictions and achieve sustainable development,and it is also an important part of supply-side structural reform.In 2016,seven ministries and commissions,including the People's Bank of China and the Ministry of Finance,jointly issued the "Guidelines for Establishing a Green Financial System",and China will become the first economy in the world to establish a relatively complete green financial policy system.The Equator Principle was established in 2003.After years of practice and improvement,it has become the most authoritative operation guide for the international banking industry to develop green credit business.At present,only one of the Industrial Banks in China announced its acceptance of the Equator Principles on September 30,2008,and became one of the “Equator Banks”.As foreign "Equatorial Banks" started green credit business far earlier than domestic commercial banks,the successful practice of foreign "Equatorial Banks" green credit and the policies and regulations formulated by developed countries for green credit have valuable reference for commercial banks and government agencies in China.In 2003,the “Equator Principles”,the guiding principle of the authority of green credit,was formally established.Up to now,84 commercial banks worldwide have accepted this principle and joined the ranks of “Equatorial Banks”.In recent years,the global “Equatorial Bank” has effectively promoted the development of new energy,environmental protection,and energy-saving industries in various countries by launching green credit business,which has become a crucial part of alleviating global environmental pollution and energy shortages.This article first elaborated on the related theories of the “Equator Principles”,“Equatorial Banks” and “Green Credit”.Afterwards,using the case analysis method,we selected the practice of becoming the only “Equator Bank” in the country – Industrial Bank in September 2008.The case analysis was conducted from the aspects of regulations,policy background,business development status,environmental risk assessment mechanism,product innovation,and personnel training.After that,the top three green credit businesses announced by Bloomberg Corporation were selected from the United States,Citibank and British Buck.Lai Bank and Mizuho Bank of Japan,as the research subjects,have summarized the regulations,policy background,business scale,environmental risk assessment mechanism,green credit product innovation,and professional talent training of the green credit business,and analyzed the “equatorial” of foreign countries.The bank's successful practice of green credit and the policies and regulations formulated by developed countries for green credit,and the enlightenment of China's commercial banks and government departments.Then the comparative analysis method was used to compare the Industrial Bank with the green credits of the three international “Equatorial Banks”.The problems and gaps in the existence of the internal green credit business of the Industrial Bank and the existence of external green credit regulations and policies were analyzed.Finally,according to the international Experiences and practices propose strategies and suggestions for optimizing the green credit business of commercial banks in China.