Sustainable Finance in the Age of AI and Green Banking Adoption Among Indian Banking Customers (Archives for Technical Sciences)

Summary

• The study collects 516 valid responses from digital banking customers in India to examine predictors of green banking adoption using PLS-SEM with 5,000 bootstrap resamples.p.1
• Quality of AI adaptation emerges as the strongest direct predictor of green banking adoption with a coefficient of β = 0.433 (p < 0.001).p.1
• Environmental concern directly influences both attitude toward green banking (β = 0.303, p < 0.001) and green banking adoption (β = 0.228, p < 0.001).p.13
• Perceived usefulness positively impacts attitude toward green banking (β = 0.247, p < 0.001) and direct adoption (β = 0.133, p = 0.013).p.13
• Attitude toward green banking significantly mediates the path from environmental concern to adoption (β = 0.070, p = 0.001).p.13
• Green perceived value does not show a significant direct effect on attitude (β = 0.028, p = 0.607) or on green banking adoption (β = −0.061, p = 0.195).p.13

Key insights

1. AI personalization quality directly drives adoption (β = 0.433, p < 0.001) but does not significantly moderate the attitude-adoption link (β = 0.000, p = 0.990).p.12
2. Attitude toward green banking significantly promotes customer adoption of green banking services (β = 0.232, p < 0.001).p.13
3. AI service convenience improves attitude toward green banking (β = 0.167, p = 0.003) but has no significant direct effect on adoption (β = 0.035, p = 0.494).p.13
4. Attitude toward green banking acts as a significant mediator between AI service convenience and adoption (β = 0.039, p = 0.025).p.13
5. Attitude toward green banking fails to mediate the relationship between green perceived value and adoption (β = 0.007, p = 0.619).p.13
6. Respondents aged 26-35 form the largest age demographic, accounting for 36.00% of the surveyed sample.p.11
7. Postgraduate degree holders constitute the largest educational segment among respondents at 43.40%.p.11