Australia's approach to carbon emissions is making some international investors increasingly "reserved" towards the country, says the local head of French banking giant BNP Paribas.

With European banks increasingly focused on the carbon exposure of their loan books, BNP chief executive Australia and New Zealand Didier Mahout also said there was room for improvement in how seriously corporate social responsibility issues were taken in Australia.

Overseas investors are concerned about Australia's approach to carbon emissions and corporate social responsibility. Credit:Paul Jones

Ahead of climate talks in Paris later this year, Mr Mahout said international investors were starting to become more concerned about Australia's approach to carbon emissions and corporate social responsibility issues relating to the environment.

While this has not prevented investment occurring, he said it was a bigger concern among overseas investors than local ones.