I’ve studied faiths and cultures around the world. Here’s how finance can be made more inclusive and sustainable

Financial products are becoming increasingly sophisticated – as are the frauds associated with things like crypto, hacking and digital robbery. Many people are already overwhelmed by financial matters, and being unable to manage money can lead to mental health problems^[1].

But money is primarily a social and cultural construct. Humans created it to serve their everyday needs for food, clothing and shelter. You could argue, however, that this servant of society has now become the master. Money permeates every aspect of life, including health, wellbeing and love – even relationships can become transactional^[2].

Humans have done immense damage^[3] to the planet. We urgently need to re-examine our financial motives and institutions so that we nurture the Earth, rather than extract, plunder and destroy it.

Meanwhile, in the last 50 years, the discipline of finance has grown in influence and reach. In fact, most other disciplines in business, such as marketing, organisational behaviour and management, have become subservient to finance^[4]. The priority has been to maximise profits to satisfy the demand for constant growth in revenues and shareholder wealth. This is known as financialisation.

Get your news from actual experts, straight to your inbox. Sign up to our daily newsletter^[5] to receive all The Conversation UK’s latest coverage of news and research, from politics and business to the arts and sciences. This, along with rising inequality, makes it a good moment to examine the knowledge system (epistemology) and beliefs (ontology) of finance. What are its core ethics, when did they go wrong, and how can they be reformed to help shape a sustainable society in future? Given the vast cultural and religious diversity^[6] on Earth, as well as the global challenges of inequality and sustainability, I have examined a variety of experiences, beliefs and perspectives on money in my new book, Organic Finance^[7]. This has resulted in a framework akin to organic farming, where the health of the soil, air and water is respected. Tradition, morality, culture and belief play a highly influential role in cultivating sustainable societies^[8]. Making money is placed into a wholesome cultural and planetary context. I have looked at attitudes towards money across culture and uncovered forgotten wisdom. Many religions have strong views on money, debt and their role in building peace and cohesion. Most have rejected the accumulation of wealth for its own sake, and warned about the limits of greed and materialism. But these principles are the antithesis^[9] of how modern abstract economics and finance are modelled and taught all over the world. This has endorsed environmental degradation through resource depletion and extraction. Countless cultures and traditions have emphasised the importance of kinship, charity, volunteering and service towards building communities and social relationships. Trust and mutuality have been central to many cultures and beliefs, yet severely undermined and ignored by the teachings of modern finance. In contrast, for many indigenous traditions, money has historically played only a small role in livelihoods. For example, the Jains^[10] have a record dating back several hundred years of philanthropy for people, animals and the environment.

The first chapter of my book is titled “Evil Finance”, and outlines how some people have become defined by competition, exploitation and expropriation. Multinational corporations have amassed significant global power^[11], and are very hard to govern and regulate. This is often accepted as a scientific reality, when in fact such behaviour is unsustainable.

Nature and spirituality are important when it comes to framing a conscious and responsible future for finance. A ground-up view of finance that includes kindness towards living beings, including rural communities and animals, would help to keep the focus on soil health, water purity and unpolluted air. And it would ensure that humans are humble and nurturing.

Across the world, there are millions of small businesses that simply want to provide a valuable service and feed their families. They have no aspirations of exponential growth and want to keep expansion within manageable proportions. And because they want to pass the business to future generations, sustainability is deeply woven into their business culture. Trust and relationships are valued more than profits or wealth.

In the book, I also examine how profits and wealth maximisation have serious consequences, with side-effects including pollution and insecure jobs. Sadly, I’ve seen from decades of research and teaching experience that words like morality, trust, relationships and community have been disappearing^[12] from corporate finance and banking textbooks, encouraging selfishness and a calculating mindset.

Unless we go back to the basics of the cultural and ethical nature and limits of money, reforms in finance such as ESG (environmental, social and governance) investment criteria or net zero goals are going to be sticking plasters on fundamentally short-termist, greedy and selfish market institutions.

For people who work in finance, it’s about understanding the limits of materialism. Finance can once again become a servant of society and nature, helping to boost values of family and community. We can start by placing ethics and culture at the centre of accounting, economics and finance training.

When we allow self-reflection and diverse cultures and traditions into the finance curriculum, we enable rich dialogues, strong moral frameworks and an ability to put money in its place. Such a rewriting of finance would be respectful of diverse cultures and traditions, allowing them to learn from one another, and work together to build an equal society and healthy planet.

This article features references to books that have been included for editorial reasons, and may contain links to bookshop.org^[13]. If you click on one of the links and go on to buy something from bookshop.org^[14] The Conversation UK may earn a commission.

References

1. ^{^} mental health problems (www.nhs.uk)
2. ^{^} become transactional (www.psychologytoday.com)
3. ^{^} immense damage (www.nhm.ac.uk)
4. ^{^} subservient to finance (uk.bookshop.org)
5. ^{^} Sign up to our daily newsletter (theconversation.com)
6. ^{^} cultural and religious diversity (www.youtube.com)
7. ^{^} Organic Finance (uk.bookshop.org)
8. ^{^} cultivating sustainable societies (jwsr.pitt.edu)
9. ^{^} the antithesis (www.beacon.org)
10. ^{^} the Jains (www.routledge.com)
11. ^{^} significant global power (uk.bookshop.org)
12. ^{^} have been disappearing (uk.bookshop.org)
13. ^{^} bookshop.org (bookshop.org)
14. ^{^} bookshop.org (bookshop.org)