Sustainability in the example of Indonesia and Serbia by using Green financing management

• Main Authors: Ilić Biljana, Pavićević Nina, Stojanović Dragica
• Format: Article
• Language: English
• Published: University Dzon Nezbit 2020-01-01
• Series: Megatrend Revija
• Subjects: green financing; market mechanism; development policy; sustainable economic growth; destinations in serbia and indonesia
• Online Access: https://scindeks-clanci.ceon.rs/data/pdf/1820-3159/2020/1820-31592002143I.pdf

The term "Green financing" is a new area of finance that has application in the process of integrating environmental protection i.e. global destinations and economic benefit. This term includes wide ranges of technologies, projects and industries that are largely related to nature, habitat and sites, confirming that it is a sustainable concept of balancing environmental depreciation in the process of carbon assimilation in the atmosphere. In essence, green funding is part of the green carbon reduction project linking financial industry, natural destinations improvement and countries' economic growth, which is an important form of long-term sustainable development. As this is an innovative concept, the paper pays special attention to the development of market mechanisms and the formulation of green financing policy in order to preserve destinations. By revealing internal contradictions between the green financing and environmental protection in achieving ecological balance and sustainable economic growth, the authors suggest some options for mobilizing private capital for green investments that can be applied in Serbia. The paper compares two countries - destinations, Indonesia and Serbia in the sector of green financing. The authors of the paper highlighted the differences between the economies of Indonesia, as a representative of the ASEAN Association, and Serbia, in a way that Indonesia is far ahead of Serbia considering the concepts of green financing and sustainable development. The aim of the paper is the author's intention that good practice from countries that have already paved the way for sustainable development and green economy, i.e. green financing, can be adopted in Serbia, which is at the very beginning of it. Indonesia was chosen as the representative of Asia Pacific countries, despite being one of the leaders in the area of green finance in the region, and because in the past, the country had a similar economic structure like Serbia, but also found ways to improve its economy. Perhaps the good practice of Indonesia could serve as an example of Serbia in achieving sustainable development, green economy and green financing!