Unbalanced natural cycles contribute to an increase in environmental and social issues as the effects of climate change are felt by the entire world community. The Covid-19 epidemic is crucial for determining how vital it is to incorporate environmental, social, and governance factors, particularly those that affect the banking industry. In emerging nations’ economies, sustainable banking is now a well-known idea. Its application in Indonesian banking is influenced by additional circumstances. In this work, a mediation model that explains how a firm’s reputation might relate to sustainable banking with enhancing corporate performance is developed and tested. The favorable adoption of sustainable banking improves the firm’s reputation and performance, according to SEM-PLS findings using secondary data gathered from sustainability reports and annual reports for 45 issuer banks in Indonesia. This study adds to the body of knowledge on the application of sustainable banking in underdeveloped nations.