Exploring environmental communication in the national banking green transition
Authors: Holy Mirela , Geiger Zeman Marija 
Published: January 2025

Purpose

This study examines the critical role of central banks, specifically the Croatian National Bank (CNB), in promoting environmental sustainability within the financial sector. While banking activities may seem unrelated to environmental concerns, they are pivotal in supporting the green transition and mitigating climate change. Building on Weber (2019) argument that sustainable development should be integral to banking strategies, this paper explores how the CNB communicates its environmental responsibilities. This study aims to examine how the CNB frames its environmental communication (EC) and explore the broader implications of such communication in fostering systemic change toward a low-carbon economy. By addressing this, the study fills a theoretical gap in understanding the role of central banks in EC within the context of sustainable development.

Design/methodology/approach

The research adopts a qualitative approach, including an in-depth interview with the CNB’s Deputy Governor and a content analysis of the CNB’s Climate Strategy based on the media and visual framing theory (Entman, 1993; Messaris, 1997). The analysis focuses on the framing of EC through key dichotomies such as anthropocentric vs. biocentric, local vs. global, pragmatic vs. constitutive, instrumental vs. intrinsic and techno-centric vs. eco-centric. Additionally, the study examines the targeted audience of these communications to understand the CNB’s approach to fostering broader engagement with sustainability goals.

Findings

The study reveals that the CNB’s EC incorporates both pragmatic and constitutive dimensions, emphasising a balance between immediate, practical financial considerations and broader systemic ideological shifts. The CNB’s Climate Strategy highlights a clear focus on reducing negative environmental impacts, supporting socially responsible business and promoting a low-carbon economy. However, while some elements of the communication are globally oriented and techno-centric, the findings suggest a need for deeper engagement with eco-centric and intrinsic value-based messaging to support a truly transformative green transition.

Research limitations/implications

A limitation of the paper is that analysis may be constrained by the lack of longitudinal data, making it difficult to assess the long-term effectiveness of these communication efforts. Finally, the study focuses solely on one institution, which limits the generalisation of the findings to other banks or industries within the European Union and Western countries, where EC strategies might differ significantly.

Practical implications

Practical implications of the research include highlighting the need for central banks and financial institutions to adopt more comprehensive and balanced EC strategies, as well as that by refining EC strategies, central banks can play a key role in raising public awareness of climate change issues.

Originality/value

This study contributes to the limited literature on central banks' role in climate change communication by offering a critical examination of how environmental responsibilities are framed within the financial sector. It underscores the importance of a systemic shift in EC strategies to move beyond pragmatic concerns and drive long-term ideological change. The paper provides valuable insights for policymakers and financial institutions on how to align communication strategies with the broader goals of sustainable development and the green transition while offering avenues for future research on the evolving role of central banks in sustainability.