• Shivangi
• Dr. Amar Kumar Chaudhary

Abstarct: This study explores how behavioral biases influence investment decisions within green finance markets, which support sustainable and environmentally conscious projects. While green finance plays a crucial role in combating climate change and environmental issues, investor behavior is often swayed by biases such as risk aversion, overconfidence, and a focus on short-term returns. These psychological tendencies can obstruct investment in sustainable ventures, despite their long-term advantages. The research utilizes a literature review alongside a survey of investors and financial professionals to identify the most significant behavioral influences. Its goals include examining the nature of these biases, evaluating their impact on investment behavior, and analyzing government measures aimed at mitigating their effects. By integrating insights from academic literature and empirical data, the study sheds light on how cognitive biases, psychological dynamics, and societal influences affect green investment choices. It underscores the role of ESG (Environmental, Social, and Governance) principles and policy-driven approaches in addressing these behavioral challenges and encouraging sustainable financial practices.

Behavioral Biases, Investment Decisions, Green Finance, ESG Principles, Sustainable Investment, Cognitive Biases, Green Governance Initiatives, Environment policies.

"The Influence of Behavioral Biases on Investment Decisions in Green Finance Markets", International Journal of Emerging Technologies and Innovative Research (www.jetir.org), ISSN:2349-5162, Vol.12, Issue 6, page no.g669-g675, June-2025, Available :http://www.jetir.org/papers/JETIR2506684.pdf

"The Influence of Behavioral Biases on Investment Decisions in Green Finance Markets", International Journal of Emerging Technologies and Innovative Research (www.jetir.org | UGC and issn Approved), ISSN:2349-5162, Vol.12, Issue 6, page no. ppg669-g675, June-2025, Available at : http://www.jetir.org/papers/JETIR2506684.pdf