The increasing focus on sustainability and responsible banking has elevated the importance of green financing practices in commercial banks. This study investigates the impact of green financing on ESG performance and financial profitability in commercial banks. Primary data were collected from 52 banking professionals using structured questionnaires, while secondary data were sourced from research papers, annual reports, and ESG databases. The study employs descriptive statistics, correlation, regression, and ANOVA to analyze the data. Findings reveal that the adoption of green financing practices significantly enhances ESG performance and contributes positively to financial profitability. Implementation challenges, including high compliance costs and limited expertise, were identified but do not outweigh the benefits. The study highlights the strategic importance of integrating ESG principles into financial operations and provides insights for policymakers and banking professionals aiming to achieve sustainability alongside profitability.