THE IMPACT OF SUSTAINABLE BANKING PRACTICES ON GENERATION Z PURCHASE INTENTION

• Main Author: Radifan, Jamal
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/79923
• Institution: Institut Teknologi Bandung

Sustainable finance practices are gaining prominence in the global banking industry, leading to a shift towards green or sustainable banking. Banks are leading in promoting sustainable practices, transitioning to low-carbon economies, managing environmental risks, and ensuring long-term financial sector stability and resilience. Gen Z, a growing consumer group, is increasingly conscious of environmental and social issues. This study established and assessed a conceptual framework to determine the factors that influence the adoption of sustainable banking services among Indonesian Gen Z. Following the theory of planned behaviour (TPB) combine with Stimulus-Organism-Response (SOR) theory, this study incorporated the constructs namely green promotion and sustainability selfidentity in addition to its basic variables. A survey was conducted to collect data from a cross-sectional sample of 325 Indonesian Gen Z customers. The research model was tested using a PLS-based structural equation modelling technique. The results indicate that attitude, subjective norms, sustainability self-identity and perceived behavioural control have a direct positive and significant effect on usage intents. While the effect of green promotions is positive but not significant, attitude is a significant mediator between green promotions and usage intention. This study contributes to the literature on sustainable consumer behaviour in banking, and provides insights for policymakers and managers seeking to promote sustainable banking practices and attract Gen Z customers.