FINANCING A GREEN UNIVERSITY: MECHANISMS, MODELS, AND STRATEGIC DIRECTIONS FOR SUSTAINABLE CAMPUS DEVELOPMENT

Abstract

The transition toward sustainable development has significantly transformed the role of higher education
institutions in society. Universities are no longer solely centers of knowledge but have become active participants in
environmental protection, climate action, and the advancement of sustainable innovation. The concept of a “Green
University” involves integrating energy efficiency, renewable energy utilization, sustainable infrastructure, waste
management, green transportation, and environmental education into institutional development strategies. However,
the transformation toward a green campus requires substantial financial resources, long-term planning, and innovative
funding mechanisms.
This article examines the theoretical and practical foundations of financing green universities, analyzes international
experience, and identifies financial instruments suitable for higher education institutions in developing economies.
The study covers public funding, private investment, green bonds, public–private partnerships, international grants,
and performance-based financing models. Particular attention is given to the cost–benefit aspects of green campus
investments and their long-term economic, social, and environmental returns. An integrated financial model supporting
sustainable university transformation is proposed, along with policy recommendations for governments and university
administrations.