A systematic review of sustainable finance. A review from 2002 to 2022

Abstract

The escalating global challenge of climate change has necessitated the integration of sustainability principles into financial decisions, marking the emergence of a critical intersection between sustainability and finance. The disparity between climate change concerns among investors and governmental agencies underscores the challenges in integrating climate-related information into decision making. However, there remains a lack of research that integrates and systematizes the available knowledge on sustainable finance. This study adopts a systematic literature review approach, which includes meticulously selecting, categorizing, and evaluating recent articles from prominent finance journals. By narrowing the focus to the most current and relevant research, the paper captures the evolving discourse within the sustainable finance arena. Drawing from these insights, the results section identifies trends, discrepancies, and gaps, proposing a research agenda to guide future investigations. This systematic literature review not only consolidates existing knowledge but also advances the dialogue on sustainable finance by offering a comprehensive overview of the state-of-the-art literature. The insights presented contribute to informed decision-making, paving the way for a more responsible and resilient financial sector in the face of global sustainability challenges. As a result of the gaps in the analysis of current literature, a research agenda was proposed aiming to guide and strengthen the state-of-the-art research on sustainable finance.