Aikhuomobhogbe, Mary Omozehio <br/><br/>
ENVIRONMENTAL INNOVATION AND BANK STABILITY / 
MARY OMOZEHIO AIKHUOMOBHOGBE; SUPERVISOR: ASST.PROF. DR. BOREN SARGON 
 - ix, 48 sheets;  31 cm.  Includes CD 
<br/><br/>Thesis (MSc) - Cyprus International University. Institute of Graduate Studies and Research International Banking and Finance Department 
<br/><br/>Includes bibliography (sheets 44-48) 
<br/><br/> ABSTRACT<br/>The aim of the study is to examine the impact of environmental innovation on bank <br/>stability. The banking sector greatly affects the economy and with the increase in the <br/>trend for green practices and innovation, they have been pressured to develop <br/>sustainable practices and products and become more eco-friendly. This research is <br/>guided by the following objectives; to determine the impact of environmental <br/>innovation on bank stability and to ascertain the level of awareness and acceptance of <br/>green innovation in the banking industry. Data was collected from Eikion database <br/>provided by Refinitiv and World Bank development indicators for 37 European banks <br/>within the period of 2021 to 2021. Banks stability is measured as the natural log of <br/>Zscore and environmental innovation was measured through the deviation of <br/>environmental pillar score. The study conducted a panel data regression; pool OLS, <br/>fixed effect and random effect model. Diagnostic test indicated that fixed effect model <br/>is the suitable model for the sample analysis<br/>The fixed effect model's results showed that there was no significant relationship <br/>between environmental innovation and bank stability. Furthermore, it was noted that <br/>European banks lack sufficient investment and proper awareness on environmental <br/>innovation. Based on the findings from the study, it is recommended that<br/>environmental innovation might improve bank stability in the future if banks are able <br/>adopt and expand environmental innovation practices. Our empirical results provide <br/>significant policy recommendations for banks to support green innovation, enhance <br/>environmental performance, and guarantee bank stability.<br/>Keywords: Bank Performance, Bank Stability, Environmental Innovation,<br/>Environmental Pillar Score, Green Innovation, Sustainability<br/> 
<br/><br/><label>Subjects--Topical Terms: </label><br/>Banks and banking--Dissertations, Academic<br/>Environmental innovations --Dissertations, Academic<br/>Sustainability--Dissertations, Academic