Sustainable development can be achieved by allowing market towards efficiency and economic development .Financial institution such as banking sector is one of the major economic agent which influence overall industrial growth of a country. Green banking is a modern and new concept of banking where all financial activities remains same but extra focus is given on sustainability and environmental protection through paperless banking by this save natural resources in the nature. Now a day people are so connected to computer, computer literacy helps easy to start green banking practices Most of the customers are using ATM cards. So, this is the best and to start all the initiatives for green banking practices. As per green banking is concerned Indian banks and financial institutions are running behind time. Most of Indian banks or financial institutions have not yet adopted using green banking products so, it is time now that India takes some major steps to use environmental sensitive parameter apart from financial to fund projects.