Authors

Discussion

Russia has recently embraced sustainable finance and responsible investment practices within the global ecosystem. The country's national projects prioritize a balanced approach to sustainable development, considering economic, social, and environmental factors. In 2019, Russia actively developed its green finance market, officially acknowledging the importance of a green economy through government proclamations and industry experts' endorsements. Environmental protection programs were adopted at national and regional levels, accounting for each region's ecological peculiarities. However, Russia's heavy reliance on mineral resources and hydrocarbon extraction, such as oil and gas, poses challenges to addressing environmental issues. Over time, many state development programs proved to be tools of the corrupt schemes of illegal encashment and money laundering. Especially after the start of the war between Ukraine and Russia in 2022, the state authorities have gained even more freedom to actively employ illegal practices because there are fewer or no monitoring mechanisms. This chapter examines the Russian federal government's policies concerning environmental concerns, evaluating state programs' effectiveness, legislation and state-business relations practices. The study reveals some critical conclusions. The national strategy for financing sustainable development needs a more transparent structure and comprehensive coverage; otherwise, it leads to an inconsistent and uncertain approach. The transition towards a green economic growth model is questionable due to the inadequately defined concept of a green economy. This lack of clarity hinders the government and businesses from effectively measuring, managing, and regulating green investments. Additionally, there needs to be a consensus on sectors negatively impacting the environment, which further complicates the formation of financing mechanisms for green investments.