The Changing Role of Banks in the Financial System: Social Versus Conventional Banks

Social banks have emerged as a new group of that call themselves “alternative”, “ethical”, “sustainable”, and “value-based”. Their small market share increases at rapid pace is still expected to grow in the future. are institutions with both (at least some) activities financial intermediation one or several non-financial missions, typically based on environmental social values. By unpacking observable, real-life differences between conventional banks, this chapter paves way theorizing multidimensional characteristics within global banking industry. Business models, governance issues, lending technologies, outcomes appear be key aspects understand how innovative, value-based, work they might day substantively affect mainstream business.