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Digital Banking and Sustainable Finance: A Topic Modeling Study

  • Rahisha Rahisha Research Scholar, Department of Management, SMBS, Jamia Hamdard, New Delhi, India, India ,  
  • Mohammed Jamshed* Mohammed Jamshed Corresponding author Assistant Professor Department of Management, Jamia Hamdard, New Delhi, India
Received: August 18, 2025
Accepted: October 26, 2025
Published: December 13, 2025
Volume: 1 (2) | Page: 40-53

Abstract

The nexus of green finance and digital banking is transforming the world financial system on the twin pillars of environmental sustainability and technological innovation. Topic modeling is utilized in this study to examine nascent trends on the basis of a corpus of around 481 records of the Web of Science database. Six leading topics are: (1) Digital Financial Inclusion and Sustainable Development, (2) Green Finance and Digital Innovation, (3) Fintech and Sustainable Financial Services, (4) Climate and Environmental Sustainability Digital Banking, (5) Blockchain and Transparency in Sustainable Finance, and (6) AI and Big Data in Sustainable Financial Decision Making. Digital banking is enabling financial inclusion, especially in rural villages, and supporting the United National Sustainable Development Goals (SDGs). Fintech technologies such as mobile banking, blockchain, and AI are propelling access to green financial products, transparency, and climate risk analysis. Blockchain is providing traceability of green bond issuance, while AI-based tools are offering real-time analysis of sustainability risk. Fintech innovation such as ESG-driven robo-advisors are giving access to sustainable financial services to everyone and facilitating decentralized investment in clean energy projects. Yet, issues like digital literacy deficits, cyber-attacks, and the environmental cost of blockchain mining persist. Regulatory schemes must continue to change and meet these to facilitate the promotion of inclusive access to sustainable financial services. This essay points out the necessity of harmonized ESG reporting mechanisms, AI transparency in governance, and inclusive regulation for facilitating the incorporation of sustainability in electronic banking. The findings point out the transformative potential of digital technologies in remoulding sustainable finance with significant implications for financial institutions, regulators, and academics. Subsequent work must take note of developing technology like quantum computing and decentralized finance (DeFi) to continue advancing sustainable financial innovation.

Keywords: Green finance, Digital banking, Fintech, Blockchain, AI, Financial Inclusion, ESG, Climate risk, Topic modeling.

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