Sustainable Fintech Trends: Top 10 Innovations Driving Change

Sustainability is perhaps the most important consideration for enterprises, organisations and businesses of all sizes in 2024. The need to scale sustainable practices is more important than ever, and the fintech industry is no exception. 

Recently, Sustainability LIVE Net Zero 2024 took place at the QEII Centre in London, featuring leading financial players and the initiatives they are employing the drive a greener future. 

In this Top 10, we look at the leading practices, innovations and product offerings being employed in the fintech space today to drive sustainability forward. 

10. Green loans and sustainable finance

As consumers and businesses clamour for more sustainable products and services from their financial providers, today, financial services providers can create loan products that incentivise businesses to prioritise sustainability. The benefits of these loans can include lower interest rates or other financial incentives for businesses investing in energy-efficient technologies or sustainable agriculture. Banks with green financial programmes include HSBC’s Green Hub, Lloyds’ Clean Growth Financing Initiative and Barclays’ Green Loan. 

9. Digital payments and signatures

Today, as digital payments proliferate across markets and industries, electronic signatures and mobile banking options are helping dramatically reduce the environmental impact of conventional banking methods, making checks and paper statements all but obsolete and leading to a reduction in cash use. Back-end digitalisation has also led to a significant reduction in paper use at banking offices and branches. Indeed, the shift towards digital banking has not only increased convenience for consumers but has also led to more sustainable financial operations. 

8. Green Investments 

Global green investments have seen a significant increase in recent times. Total funding in green projects reached US$495bn in 2022, with facilitation coming from digital platforms and fintech companies. The drive to support eco-friendly initiatives has only grown. Today, investment firms specialising in delivering green funding to environmentally friendly initiatives, such as Green Investment Group and Green Investment Partners, are becoming all the more popular, and banking investment arms are continuing to favour green investment portfolios.