Green finance, fintech and environmental protection: Evidence from China

The role of artificial intelligence and fintech in promoting eco-friendly investments and non-greenwashing practices in the US market

This study explores the intricate connections among financial technology (FinTech), artificial intelligence (AI), and eco-friendly markets in the US, shedding light on their dynamic interplay and implications for sustainable investment and policy strategies. Specifically, our research delves into the transformative roles of FinTech and AI in broadening financial access, fostering green financing initiatives, and aligning financial practices with environmentally conscious objectives. We also investigate market reactions among the AI, FinTech, non-greenwashing, and eco-friendly markets during exogenous shocks, offering valuable insights into these markets' interconnectedness. An innovative connectedness approach, the R2 decomposed measures, is employed to capture the contemporaneous and lagged spillover effects using daily data from December 19, 2017, to November 1, 2023. We also focus on constructing a minimum connectedness portfolio using the time-varying parameter vector autoregressive approach. The findings reveal significant volatility connectivity within these intergroups, emphasizing the need for sustainable tech finance policies and real-time monitoring systems to address market fluctuations. Overall, this study contributes to an underexplored area by providing empirical evidence and valuable implications for scholars and policymakers, and can help in guiding sustainable investment and policy strategies aligned with zero-emissions agendas.

The impact of geopolitical risk, institutional governance and green finance on attaining net-zero carbon emission

This research investigates the impact of geopolitical risk, institutional governance and green finance on environmental outcomes, specifically focusing on carbon emissions and ecological footprint. Utilizing the dynamic CS-ARDL method and aggregated mean group analysis on a panel dataset covering 21 nations from 2000 to 2021, our findings reveal that heightened geopolitical risk leads to both short and long run increases in carbon emissions and the ecological footprint. Our study finds both a direct as well as indirect connection between governance, green finance and environmental outcomes in both the short and long run, highlighting the nuanced impact of governance on the formulation of environmental policies and regulatory frameworks. The results emphasize the need for targeted strategies, including focused investments and incentives for sustainable finance, particularly in conflict-affected regions. Furthermore, our research underscores the enduring impact of historical events, such as wars, on contemporary environmental indicators, emphasizing the importance of proactive conflict prevention measures. Our research suggests that policymakers should adopt comprehensive strategies that prioritize emission reduction during short-run spikes in geopolitical risk while maintaining a steadfast commitment to long-run sustainability.

Money grows on green energy: Financing a sustainable power future

This research aims to estimate the relationship between green bond financing and the OECD nations' performance on the renewable energy indices. The study attempted to quantify the relationship between concepts by analyzing data from OECD countries for 2011-2019. Padroni unit root test, FMOLS, and DOLS method provide evidence for the study's results and convey broad policy implications on this important topic. The robustness is consequently examined through a long-term sensitivity analysis employing the FMOLS, and green bond financing nexus concerning the renewable energy indices is shown for comparison. The study showed that financing of green bonds had a predictable impact on renewable energy indices variables. Green bonds' unequal implications for renewable energy measures across the study period bear out this interpretation. The study's findings call for full suppot from government institutions, energy agencies, and departments to optimize energy efficiency, as green bond financing played a 32% role in OECD nation's renewable energy index constructions and increased per unit improvement in renewable energy sources by 9.6%. The research offers many policy recommendations for improving energy efficiency through renewable energy generation. Recent studies extend and contribute to the existing body of literature, although the scientific discussion on this subject matter still needs to be more detailed and understudied. Financial unpredictability may be transformed into a tremendous opportunity if the renewable energy business is appropriately regulated.

Analyzing the impact of fintech industry and green financing on energy poverty in the European countries

In the fourth industrial revolution, the fintech has significantly expanded during the last several years, and this has caused scholars to worry about how much electricity is being used. Because energy poverty is one of the most critical social policy concerns facing the majority of nations in the world in the modern era. This study adds to what has already been written by looking at how the fintech industry affects the environment and energy in European countries. The current study investigates how the growing awareness of the need to preserve energy and the environment has an effect on society, and analyzes the role of the fintech industry, green finance, energy efficiency, and research and development on energy poverty across European nations from 2013 to 2020. To estimate long- and short-term impacts, DOLS and FMOLS are used along with diagnostic tests. The outcomes found that there is a tight relationship between energy poverty and all the factors taken into consideration (fintech, green finance, energy efficiency, and R&D). EU governments should employ "green finance" to encourage and enable the fintech industry since fintech plays a vital role in enhancing environmental effectiveness. The financing of environmentally friendly projects is very beneficial and might help alleviate energy poverty. The findings also indicate that more financing, ecological subsidies, and social assistance programs are necessary in order to satisfy the needs for energy and put an end to energy poverty in Europe. Policymakers in the tech world may be especially interested in the results.

Research landscape of energy transition and green finance: A bibliometric analysis

This study utilizes bibliometric analysis to examine historical and present research patterns in the area of energy transition and green finance and to forecast potential future domains. Using the bibliometric method, 328 scholarly articles from the Web of Science database were evaluated. This paper identifies influential publications, maps the research landscape, and forecasts emerging tendencies through co-citation and co-word analyses. Co-citation analysis found three main clusters, while co-word analysis revealed four main clusters. Despite the growing significance of research on energy transition and green finance research, further in-depth investigation is necessary to offer a thorough depiction of the research domain. This research represents a pioneering endeavour in the utilization of bibliometric analysis to investigate the interrelationship between two items. It offers valuable insights into the rapidly expanding field of energy transition and green finance, effectively highlighting its contours and indicating potential future developments.

Green finance and environmental sustainability: a systematic review and future research avenues

This study critically examines the dynamic interplay between green finance and environmental sustainability using a systematic review and bibliometric analysis. The analysis is centered on 507 scholarly articles published between 2013 and 2023 in the Scopus database and leverages Microsoft Excel, Harzing Publish or Perish, and VOSviewer to identify publication trends, key contributors, research impact, and emergent themes in this rapidly evolving field. The findings reveal that research on green finance and environmental sustainability has increased exponentially over the past decade, with China and institutions in Asia emerging as prominent contributors compared to other regions. This study also identified the Environmental Science and Pollution Research journal as the most active source title, demonstrating its commitment to publishing current findings on the topic. Through keyword analysis, several research avenues have been proposed to guide future research on enhancing the strategic role of green finance in promoting environmental sustainability. These avenues include broadening the geographical scope of research, exploring the synergies between green finance and emerging fintech innovations, developing robust metrics to quantify the socioeconomic impacts of green finance, establishing a risk and resilience framework to protect green finance against uncertainties, and creating a Green Finance Performance Index to evaluate the dual returns of environmental and financial performance.

Driving carbon emission reduction in China through green finance and green innovation: an endogenous growth perspective

Discovering drivers of carbon dioxide (CO2) emissions is vital for the Chinese government to achieve carbon peak and carbon neutral. With this aim, a theoretical endogenous growth model capturing the mitigating effect of green finance and green innovation on carbon emissions is constructed in this study, which is further empirically examined using China's municipal-level panel data during 2010-2019. The main findings are as follows: First, there is theoretical and empirical evidence supporting that green finance and green innovation can inhibit carbon emissions. Second, the above inhibitory effects demonstrate clear regional disparities with significant effects only in eastern and central Chinese cities, which are moderated by environmental regulations and marketization levels, respectively. Third, in cities with high green finance, green finance plays a more significant role in reducing carbon emissions than green innovation, and the opposite is true in cities with low green finance. In addition, the robustness and endogeneity checks indicate that the results of this study are robust and reliable. These theoretical and empirical findings create profound implications for CO2 emission reduction by vigorously guiding funds to green finance and formulating scientific and effective environmental regulations to promote green innovation in China.

Market or regulation? The competition effect between green finance and environmental enforcement on environmental quality and its "dominate-follow" pattern

Current research on environmental instruments often isolates the two mainstream types, market-based and regulation-based, overlooking their real-world interactions. In response, the intensity gap variable (EII_GAP) is constructed to link various instruments into a united system. Thus, based on the spatial econometrics of the spatial panel Durbin model (SPDM), the collective effects between market- and regulation-based environmental instruments on environmental quality are explored. Moreover, the political strategies for maximizing environmental benefits are discussed. Results show that the interaction pattern between market- and regulation-based environmental instruments on environmental quality is characterized by competition rather than cooperation. A unit widening in the intensity gap leads to 17 to 18% and 12 to 18% units of environmental quality improvement in local and adjacent areas, respectively. Furthermore, the "dominate-follow" approach as the most effective mode for maximizing environmental effects is proposed. This study recommends employing one type of instrument as the dominant while the other as the auxiliary. In provinces where one kind of environmental instrument takes domination, the environmental quality could be increased by around 8 to 113% after taking another contrary instrument as the auxiliary.

Does financial technology matter in the relationship between CSR and banks' financial stability? a quantile regression approach

In today's rapidly evolving global financial landscape, the growing importance of corporate social responsibility (CSR) and Fintech demands immediate attention, making it a vital and urgent area for exploration. This study examines whether Fintech plays a moderating role in the relationship between CSR and the financial stability of banks operating in some countries in the MENAT region from 2010 to 2021. Using simultaneous quantile regression analysis, the results show that Fintech positively moderates the effect of CSR on banks' financial stability at the medium and highest financial stability quantiles. This outcome highlights the need for banking institutions to embrace new technologies and responsible practices to bolster their financial stability in the changing financial landscape. Furthermore, Fintech positively moderates the impact of banks' financial stability on CSR across all quantiles. Thus, Fintech adoption helps banks to be more socially responsible regardless of their stability level. To ensure the robustness of our results, we employ the generalized panel method of moments (GMM) and quantile regression method to test whether the relationship between CSR and banks' financial stability varies with the presence of Fintech. The findings reveal that CSR enhances financial stability in the middle and higher Fintech quantiles. Therefore, Fintech adoption can potentially amplify the benefits derived from CSR activities, leading to greater bank stability. In addition, financial stability increases banks' involvement in socially responsible initiatives across all Fintech levels. This study provides policymakers with meaningful insights into the importance of embracing simultaneously technological innovation and socially responsible practices to enhance financial stability and achieve sustainable development goals.

Exploring role of green financing in blockchain markets for climate change mitigation in China

This study explores the potential of green finance as a strategic method to addressing climate change mitigation in China's blockchain industry. This research methodically analyzes a large dataset collected from many sources across the period between 1999 and 2020. Using a mixed approach of quantitative research and qualitative case studies, this study delves into the tangled web of relationships between alternative finance sources for green initiatives and the use of blockchain technology to promote more environmentally friendly business practices. The results provide light on how green finance and blockchain technologies might work together to boost China's climate change mitigation efforts, revealing fresh insights into the possible synergies and obstacles that erupt from this intersection. In response to the worsening climate problem, there is a pressing need for unconventional methods of financing that can lead holistic sustainable growth. Concurrently, blockchain technology's disruptive potential reverberates across numerous sectors. However, research on blockchain's potential for combating climate change, especially in conjunction with green funding systems, is still in its infancy. Intrinsic interest has motivated this study, which provides a new viewpoint on paths that might transform climate change mitigation in China by mapping the unexplored territory at the intersection of the green finance and blockchain sectors. This research hopes that by examining this interface, it will shed light on the hidden opportunities presented by the combination of green financing and blockchain innovation, allowing for more well-informed and effective decisions to be made in support of environmentally sustainable futures.

Can green finance and environmental regulations promote carbon emission reduction? Evidence from China

Carbon reduction has become a major challenge for China's economy in its transition toward sustainability. The government has been monitoring the behavior of enterprises through regulations to protect the environment, while green finance has rapidly developed in recent years as a new tool to reduce carbon emissions. Despite these measures, few studies have explored the interaction between these two drivers of carbon reduction. Therefore, this study aimed to examine the impact of green finance and environmental regulations on carbon emissions. To determine whether their coordination can lead to greater carbon reduction, the spatial spillover effect of this impact was also investigated. The results show that green finance can reduce carbon emissions and that the interaction of green finance with environmental regulations plays a significant positive role in reducing carbon emissions. Finally, this study concludes that the carbon reduction effects of green finance and environmental regulations have positive spillover effects on adjacent areas.

Is green FinTech reshaping the finance sphere? Unravelling through a systematic literature review

The revolutionary and transformative potential of FinTech has led to the Green Digital Finance Alliance, noting the dawn of a new era of FinTech-"the green FinTech", yet, surprisingly, the scholarly exploration surrounding climate finance in general and green FinTech and climate FinTech remains restrained. In our attempt to decode the intricate interlinkage between green finance and FinTech, the study wrestles with the theoretical complexity of the "green FinTech" concept through a systematic review of relevant studies and conceptual mapping. We develop a comprehensive grasp of the concept, how to leverage it to combat the pressing climate crisis, and its implications for the FinTech segment-the first of its kind in the scanty green FinTech literature. Based on the PRISMA analysis, we find that green FinTech promotes a green economy through its manifold impact on all aspects of the finance sphere, thereby channelling climate finance and promoting sustainability. It has the power to heighten inclusivity, disclosure, trust, and democratisation, thus reducing information asymmetry and greenwashing. Hence, FinTech integration can be game-changing in eliminating the hurdles before conventional green finance. However, the literature remains fragmented, along with a young, growing green FinTech market. Therefore, this study proposes a framework for future researchers by providing a holistic research agenda to fully integrate "green FinTech" into practical real-world applications.

Renewable energy and natural resource protection: Unveiling the nexus in developing economies

Natural Resource Protection (NRP) has been on the agenda of the Sustainable Development Goals (SDGs) and is considered a pathway to sustainable development. The analysis of the determinants of NRP has received the attention of policymakers in framing evidence-based policies and strategies. Renewable energy (RE) is a major contributor to natural resource protection. However, existing studies have provided inconclusive evidence on the role of renewable energy in the NRP. This study primarily focuses on the assessment of how RE influences NRP in 22 developing economies. This study considers the nonlinear association between RE and NRP. Moreover, the role of governance effectiveness, financial technology, urbanization, and FDI in the NRP were also assessed. Furthermore, the analyses also explore the NRP-Kuznets curve by examining the role of economic growth in the NRP. The study, which detected cross-sectional dependence (CSD), heterogeneity, autocorrelation, and heteroskedasticity in the data, uses pooled regression with Driscoll-Kraay Standard Errors (DKSEs) and GLS for the econometric analysis. The results revealed a U-shaped relationship between renewable energy and NRP. Moreover, governance effectiveness, FINTECH, and FDI contribute to NRP, but urbanization has a negative impact on NRP. The analysis concludes an inverted U-shaped association between GDP per capita and NRP. A Bayesian regression analysis was also performed to validate the robustness of the results. Based on these findings, this study makes policy recommendations for improving NRP. Policymakers should prioritize renewable energy and sustainable resource exploitation through incentives and investments. Improving governance, adopting environmental rules, and involving stakeholders are critical. Financial technology can facilitate long-term investment in sustainability. Sustainable urban design should reduce the adverse effects of urbanization. FDI should be aligned with long-term development goals and appropriate resource management. Balancing economic growth with environmental protection requires multifaceted measures that promote green development and resource efficiency. Policy coherence and stakeholder participation are also critical.

How do Fintech and green bonds ensure clean energy production in China? Dynamics of green investment risk

This study inquiry examines the vital role that Fintech and green bonds play in ensuring that China generates clean energy in a comprehensive manner, taking into consideration the mechanisms of green investment risk. This paper provides exciting new insights on the link between financial technology (Fintech), green bonds, and China's clean energy economy by using a reliable approach and doing an in-depth data analysis. The findings provide a significant contribution to our understanding of how Fintech may help enable financing for renewable energy projects by using digital platforms, mobile payment technologies, and blockchain technology to boost investor confidence and accessibility to funds for clean energy projects. This aspect of green bonds is emphasized since the study highlights the importance of sustainable energy generation. The need of proactive regulatory frameworks that are able to adjust to the shifting Fintech and green bond markets while supporting good policies, motivating factors, and efficient risk management procedures is emphasized in the research. The study contributes to the enlightenment of academic discourse, focuses efforts at policymaking, and gives knowledge that is helpful to people who are working to promote a greener and more sustainable future.

Does green finance reduce environmental pollution?-a study based on China's provincial panel data

As a bridge between economy and ecology, green finance is vital in improving environmental quality and promoting sustainable development. Based on the building of an environmental pollution index system, this paper constructs the [Formula: see text] model to deeply explore the specific impact of green finance on environmental pollution using China's provincial panel data from 2007 to 2020. This paper constructs an intermediary model to test the impact mechanism of green finance on reducing environmental pollution and discusses the regional heterogeneity of green finance in reducing environmental pollution. The results show that (1) green finance can significantly reduce environmental pollution, among which green credit has a pronounced effect on reducing environmental pollution, green investment has a relatively small effect, and green securities have not significant effect. (2) Green finance has the best inhibitory effect on solid pollution, less inhibitory effect on air pollution, and no significant improvement effect on water pollution. (3) Green technology innovation, industrial structure upgrading, and environmental regulation play an intermediary role in the process of green finance reducing environmental pollution and improving environmental quality. (4) The effect of green finance in the eastern and carbon emission pilot areas is significantly better than in the central and western regions and non-carbon emission pilot areas respectively. According to the research results of this paper, suggestions are put forward to promote the development of green finance, which is of great significance to reducing environmental pollution and achieving sustainable development goals.

Green finance, economic growth, and carbon emissions: a PVAR analysis

The study examines the relationship between green finance development, carbon emission intensity, and economic development in China's 30 provinces. The entropy approach is used to calculate the green finance development index, and a panel vector autoregressive model is established using this index along with economic development and carbon emission intensity. The study finds that green finance can promote economic growth and help achieve emission reduction objectives, while increasing carbon emissions can also promote economic growth. The study also highlights regional differences, with the economic growth of the eastern and central regions negatively correlated with carbon emissions after surpassing the inflection point of the environmental Kuznets curve. Additionally, the study suggests that there is still room for growth in green finance in the western region. The findings have important policy implications for China in developing targeted development strategies.

Does income inequality moderate the effect of fintech development on renewable energy consumption?

Fintech development is generally considered as an effective mechanism to promote the consumption of renewable energy sources. The relationship between fintech development and renewable energy consumption have been examined in previous studies. However, the moderating effect of income inequality on this relationship has largely been ignored in the existing literature. As such, this study is conducted to shed light on this moderating effect. Two estimation techniques, including the two-step system generalized method of moments (GMM) and the method of moments quantile regression (MMQR), were used on a sample of 65 countries from 2013 to 2019. Our findings reveal that fintech development plays a vital role in promoting the consumption of renewable energy sources. However, it is crucial to recognize that rising income inequality may hinder the potential positive effects of fintech development on renewable energy consumption. A threshold of income inequality should be maintained to ensure that the positive effect of fintech development on increased renewable energy consumption is not compromised. Policy implications have emerged based on the findings from this study regarding promoting fintech development towards green economic growth and sustainable development.

The construction of green finance and high-quality economic development under China's SDGs target

The study of top economic growth with the goal of Sustainable Development Goals (SDGs) has become an important issue in the world, and scholars have analyzed high-quality economic development(HED) influencing factors from many perspectives, but there are few studies on green finance(GF) and high-quality economic development(HED). we examine the logical link between green financing and high-quality economic development, as well as the transmission mechanism behind this relationship. Using data from 30 Chinese regions from 2011 to 2021, our empirical study shows that green financing may improve high-quality economic development. Several robustness tests show that this association exists. Furthermore, our findings indicate that more robust government governance and market synergy may promote green finance for high-quality economic development. Green finance can enhance high-quality economic development by minimizing resource mismatch and encouraging green technology advancement. Simultaneously, green finance for high-quality economic development is significantly heterogeneous. Green credit and green insurance are important forms of support for promoting high-quality economic development, with significantly higher impacts in the eastern regions than in the central and western regions. Our research offers policymakers insights on encouraging green finance growth in China.

Unveiling the relationship of ESG, fintech, green finance, innovation and sustainability: case of Gulf countries

Technological advancement and innovations not only transformed businesses but also optimize numerous functional areas of financial services. Besides, green finance and fintech are also essential tools to achieve sustainable development agendas. Thus, it is imperative to document the evidence that how conducive such factors are to achieve 2030 sustainable development goals. The study, in this regard, is aimed to scrutinize innovation, green finance, financial technologies, and ESG factors altogether in order to determine their effectiveness on sustainable development in Gulf countries in the time span of 2000-2020. The study opts for methods of moments quantile regression (MMQR) and claim that green finance, green innovation, and fintech helps in achieving sustainable development goals. However, among ESG factors, social and governance role is negative in the sampled economies. Findings are interesting for policy makers and government institutions because it assists them to improve governance evaluation system and classification standards so that countries may no longer experience hindrance when indulging in sustainable development actions.

Can China's vehicular emissions regulation reduce air pollution?-a quasi-natural experiment based on the latest National Vehicular Emissions Standard (stage-VI)

The existing evidence on the environmental effects of vehicular emissions regulation almost comes from developed countries, but the effectiveness of this policy tool in developing countries, especially in China, remains unclear. This study, for the first time, examined the mitigating effects of China's vehicular emissions regulation on air pollution at the prefecture level cities, by using the latest implementation of China's National Vehicular Emissions Standard VI (CHINA-VI) as a quasi-natural experimental process of policy shocks. To this end, monthly data from 2018 to 2020 was applied to construct a difference-in-differences (DID) model. The results showed that pilot cities' air quality index (AQI) significantly decreased by 4.74 compared to non-pilot cities after the implementation of CHINA-VI. Also, the concentration of PM2.5, PM10, and O3 has decreased by 3.6 μg∕m3, 6.4 μg∕m3, and 3.0 μg∕m3, respectively, which means the new China's vehicular emissions regulation has comprehensively improved air quality. The findings are still valid after a series of robustness tests using different estimation methods such as PSM-DID and IV-2SLS. In addition, we also found heterogeneity in the environmental performance of CHINA-VI across cities. Specifically, cities with lower levels of green finance development and public environmental concern showed a greater emissions reduction effect, but smart cities showed a greater emissions reduction effect than non-smart cities.

Green finance and environmental, social, and governance: evidence from Chinese listed companies

In recent years, academics have paid more attention to green finance, and public companies have reached a broad consensus on the concept of timely environmental, social, and governance (ESG) disclosure. Due to the close relationship between green finance and ESG, this presents an opportunity to determine whether green finance compels companies to actively disclose ESG. The sample for this study consists of China's non-financial A-share listed companies from 2010 to 2021, and the empirical findings demonstrate that green finance can positively influence the ESG performance of listed companies. Through an analysis of heterogeneity, this study reaches the following conclusions: state-owned enterprises, heavy pollution companies, and companies in low-carbon pilot cities perform better in terms of green finance's role in promoting ESG scoring. This study also introduces market concentration and social trust as the moderating variables, enriching the green finance research framework. Through the analysis of moderating variables, the 'black box' effect of green finance on ESG is disclosed, providing theoretical support for the government and companies to better comprehend the policy effect as well as a reference for reform and experimental promotion of green finance.

Digital inclusive finance, agricultural green technology innovation and agricultural carbon emissions: Impact mechanism and empirical test

The impact of digital financial inclusion (If) and agricultural technology innovation (Gi) on agricultural carbon emissions has attracted wide attention from the academic community, but the inconsistent conclusions of existing studies and the reality that few studies have gathered them into a framework require more evidence to fill this gap, which can contribute more insights to promoting economic development and controlling carbon emissions. Taking the provincial-level relevant data of China's agriculture from 2011 to 2020 as a sample, the GMM method is used to integrally test the relationship between the three factors. The results show that (1) from 2011 to 2020, China's overall agricultural carbon emissions experienced two stages of fluctuating rise (2011-2015) and continuous decline (2015-2020). In 2015, China's agricultural carbon emissions peaked at 1,040 million tons; Overall, Hunan, Hubei, and Henan were the provinces with the largest agricultural carbon emissions; Beijing, Tianjin, and Shanghai are provinces with relatively low agricultural carbon emissions. (2) Although the impact of digital financial inclusion on agricultural carbon emissions is negative, it is not significant. (3) Agricultural technology innovation promoted the reduction of agricultural carbon emissions. If the level of agricultural technology innovation increased by 1 percentage point, agricultural carbon emissions would decrease by 0.09 percentage points. (4) Mechanism analysis showed that agricultural technology innovation could reduce carbon emissions through the efficiency of agricultural resource allocation, and its effect reached 56%. The results can provide a scientific basis for the government to formulate targeted policies, and the methods can be extended to other places.

The role of Fintech in circular economy practices to improve sustainability performance: a two-staged SEM-ANN approach

Coupling the practice-based view (PBV) of firms with dynamic capabilities theory (DCT), we assess the effect of Fintech adoption (FA) on organizational sustainability performance (SP) through circular economy practices (CEP). Additionally, this research examines the moderating roles of a firm's access to finance (AF) and absorptive capacity (AC) in the interplays between the constructs. Three hundred responses were collected from Bangladeshi manufacturing SMEs using a structured questionnaire. We examined our conceptual model using a two-staged structural equation modeling-artificial neural network (SEM-ANN) approach. The empirical findings unveiled that Fintech adoption significantly drives organizational CEP and SP and that CEP acts as a mediator between the FA and SP linkage. Furthermore, the findings also confirmed the moderating effect of AF on the FA and CEP association and the impact of AC on the CEP and SP association. Hence, this scholarship adds pivotal insights to the extant literature by establishing the roles of multiple mediators and moderators in the interplay of FA and firms' SP. Given the paucity of primary-data-based research, this empirical study addresses the gaps in the Fintech, CE, and sustainability literature and yields crucial implications for theory and practice.

How digital finance promotes renewable energy consumption in China?

This study uses a quantitative methodology to investigate how the rise of digital money has affected efforts to increase green energy use in China. This work contributes to the body of knowledge by using a number of empirical methods, such as regression analysis, parametric quantile estimation, stability diagnostic tests, and sensitivity analysis. This study's results further demonstrate the importance of digital financing in easing the adoption of renewable energy sources throughout China. Financing alternatives for renewable energy projects have increased as a result of digital finance's integration of digital technology with financial services. A wider range of investors has been attracted through crowdfunding, peer-to-peer lending, and other alternative financing models made possible by digital platforms, allowing the development of small and medium-sized renewable energy projects that may have had trouble securing funding through more traditional channels. The impact of digital finance on energy management and optimization is also investigated. As a result, renewable energy sources have been more widely adopted due to increased energy efficiency, better grid integration, and more efficient energy delivery. This study presents substantial evidence of the beneficial benefits of digital finance on renewable energy use in China using rigorous empirical methodologies such as regression analysis, parametric quantile estimation, stability diagnostic tests, and sensitivity analysis. The results highlight the significance of using digital money to boost the use of renewable energy, lessen reliance on fossil fuels, and help create a greener, more sustainable future.

Green gospel effect of regional financial expansion: evidence from urban commercial banks in China

The regional financial expansion represented by the development of regional small and medium-sized banks, such as urban commercial banks, is an essential factor affecting the environmental behavior of enterprises. We found that both the marginal expansion and the scale expansion of regional finance help reduce the sulfur dioxide emission intensity and improve the environmental performance of enterprises, indicating a green gospel effect of regional financial expansion. In terms of the impact path, regional financial expansion cannot only reduce the sulfur dioxide generation intensity and improve the front environmental performance of enterprises, but also increase the sulfur dioxide removal intensity as well as improve the terminal environmental performance. However, in the context of high fiscal pressure on local governments, regional financial expansion exacerbates sulfur dioxide emission and generation intensity of enterprises, worsening environmental performance and creating a green curse effect. Further study finds that the cross-regional expansion of urban commercial banks can strengthen the green gospel effect; the improvement of enterprises' environmental performance by regional financial expansion is mainly found in polluting industries and non-SOEs.

Green finance, energy consumption, urbanization, and economic growth: Quantile based evidence from China

This study investigates the relationships between energy consumption, urbanization, green finance, and economic growth in China. By utilizing the quantile ARDL model and considering labor and capital as input factors, we analyze the period from 1999 to 2022. Our findings reveal that green finance and urbanization have negative effects on economic growth across different quantiles, in both the short and long run. Conversely, energy consumption exhibits a significantly positive impact on growth in various quantiles. Policymakers are encouraged to implement sustainable energy measures, promote eco-friendly urban planning, and embrace green technology to achieve both economic growth and environmental sustainability.

The impact of green financial policies on carbon emission efficiency: empirical evidence from China

In the crucial phase of high-quality economic growth, green finance is essential for directing capital to green industries and optimizing the quality of economic growth. Academics in China have paid a great deal of attention to green finance because it is a crucial government policy for advancing the development of an ecological civilization. This document examines the Chinese State Council's implementation of the Guidance on Building a Green Financial System as a quasi-natural experiment. It determines, using the double difference method and panel data from 283 prefecture-level cities in China between 2011 and 2020, if green financial reform policies can enhance carbon emission efficiency and its mechanisms. The study reveals that green finance reform policies considerably improve the carbon efficiency of cities, albeit with a significant time lag and an annual increase in net effect. In addition, the mechanism analysis revealed that green financial policies primarily improve carbon emission efficiency by decreasing the intensity of energy consumption, enhancing technological innovation, and optimizing industrial structure. Therefore, expanding the size of the reform pilot zone and increasing incentives and guidance for green financial institutions will aid the transition of cities to a low-carbon economy.

Nexus between FinTech, renewable energy resource consumption, and carbon emissions

An increase in energy crises and environmental degradation has pushed countries to adopt more sustainable practices. In this situation, financial technology has played an important role to lower carbon emissions by integrating renewable energy resources that can help increase renewable energy resource consumption (REC) and lower carbon emissions (CE). To better understand this transmission mechanism, this study has collected a panel dataset of 26 Morgan Stanley Capital International (MSCI) developing countries for the 2011-2021 period. Furthermore, a proxy indicator for financial technology (FinTech) was developed by extracting relevant data from CrunchBase. Pooled ordinary least square and robust fixed effects technique was adopted to analyse the influence of FinTech on renewable energy and carbon emissions for robustness. Results of the study show that FinTech development promotes renewable energy resource consumption (REC) and discourages carbon emissions (CE), moreover, economic growth positively impacts, and carbon emissions (CE). This research emphasizes the importance of adopting financial technology as an important deterrent of further environmental damage. Additionally, in line with the results of this study, policymakers should design and implement an industrial policy which promotes sustainable economic growth which can pave the path for a circular economy model in the future.

Effect of green finance reform and innovation pilot zone on improving environmental pollution: an empirical evidence from Chinese cities

Under the strategic deployment of dual carbon goals, China has entered the stage of high-quality development of low-carbon economic transformation. Green finance is an important tool to provide financing support for the development of green low-carbon projects and prevent environmental and climate financial risks. Whether and how it can help the implementation of the dual carbon goals is worth pondering and studying. Based on this background, this study considers the green finance reform and innovation pilot policy zone jointly issued by the Central People's Bank of China, National Development, and Reform Commission in 2017 as a natural experiment. Based on the panel data of 288 cities nationwide from 2010 to 2019, the effect of emission reduction is estimated using the PSM-DID method. The following conclusions are drawn: (1) The green finance policy has effectively improved the city's environmental quality, and the pilot effect of green finance has a certain lag on SO₂ emissions and industrial smoke (dust) emissions; (2) the mechanism inspection shows that the policy mechanism has promoted the technological innovation level, sewage treatment capacity, and garbage harmless treatment capacity of the pilot area to a certain extent; and (3) the impact of green finance policy on environmental quality has regional and industrial characteristics heterogeneity. The green finance pilot policy in eastern and central regions will inhibit SO₂ emissions, but the emission reduction effect in western regions is not significant; The implementation of the pilot policy of the green financial reform and innovation pilot zone has significantly reduced the sulfur dioxide emissions of the old industrial base cities, but the effect of the policy on non-old industrial bases is not obvious. The research conclusion has important enlightenment significance for further improving the construction of financial system, promoting the green transformation of regional industry, and improving the quality of urban environment.

Green finance in circular economy: a literature review

Developing markets are using sustainable development potential to reach zero-carbon goals. Due to the limitation of natural resources, companies need to use environmentally friendly manufacturing to develop a circular economy (CE). Green finance (GF) and the CE are linked in a systematic and complex approach; therefore, it was essential to employ the coupling coordination-level framework to explain their relationship and feedback. Any study linking green financing and CE together has been found. The objective of this research is to explore this twofold domain and determine its main characteristics. To address this objective, a comprehensive review of the literature was conducted, supplemented by a bibliometric analysis. The results confirm that GF has the potential to help society, sustainability, and the prevention to climate shifts, investing in the CE. There are many hurdles to overcome, including inadequate knowledge about CE and GF, ambiguous definitions, a lack of coherence between legal frameworks on CE and green financing, unclear laws, and a lack of financially viable motivation for investors and financial institutions that are ready to promote in sustainability. This study explores CE and GF domains. Managers may readily increase their understanding of methods, strategies, and technical solutions beneficial to assist their operations toward a green economy depending on various CE and GF elements. Finally, based on a categorization of GF types, the assessment identifies future investment potential consequences of green financing in the CE.

Toward green growth in China: The role of green finance investment, technological capital, and renewable energy consumption

In recent times, the concept of green growth has emerged, which has a critical part to play in controlling the environmental impact of economic activities. In this analysis, we have explored three determinants of green growth: green finance investment, technological capital, and renewable energy. Moreover, this study focuses on the asymmetric impact of green finance investment, technological progress, and renewable energy on green growth in China during the period spanning from 1996 to 2020. To get the asymmetric short and long-run estimates across various quantiles, we have employed the nonlinear QARDL. The long-run estimates attached to a positive shock in green finance investment, renewable energy demand, and technological capital are positively significant at most quantiles. While, the long-run estimates attached to a negative shock in green finance investment, technological capital, and renewable energy demand are insignificant at most quantiles. In general, the findings suggest that the rise in green financial investment, technological capital, and renewable energy demand positively impacts green growth in the long run. The study offers a range of significant policy recommendations that can contribute to the advancement of sustainable green growth in China.

Impact of green finance and fintech on sustainable economic growth: Empirical evidence from India

This research study analytically investigates the influence of green finance and financial technology on sustainable economic growth. The analysis is based on data from Indian states from 2010 to 2021. The research paper uses the panel regression method to examine the association between fintech, green finance and economic growth by applying a two-step GMM (generalized model of moments) to determine the endogeneity issues of the variables. This paper reveals that green finance widely helps quality economic growth by significantly impacting finance structure, financial effectiveness, and environmental quality protection development. Furthermore, fintech enhances the significant effect of green finance in the finance structure and environmental quality protection while lacking consequences on the association between green finance and economic effectiveness. Based on the results, the current research paper offers policy submissions for policymakers and the Government of India, including strengthening the consolidation of fintech growth with green finance, structuring a quality environmental revelation outline to control state governments in refining the effectiveness of green finance, and emerging prolonged satisfactory protocol as an outside involvement proceeding to encourage green finance in the non-public sector.

Has green finance improved China's ecological and livable environment?

Green finance can promote economic transformation and technological innovation and play a key role in solving the ecological environment and energy crisis. This paper constructs a comprehensive ecological livable environment evaluation system based on the provincial panel data in China from 2011 to 2019. At the same time, the panel mediation effect and spatial econometric model are used to test the impact of green finance on the ecological and livable environment. The main research conclusions include the following: (1) green finance has significantly improved China's ecological and livable environment; (2) green finance improves the ecological and livable environment by improving the level of technological innovation; (3) the impact of green finance on the ecological livable environment has regional heterogeneity, and green finance in the central provinces has a better effect on the improvement of the ecological livable environment; and (4) the ecological livable environment among Chinese provinces has a significant positive spatial correlation. Among them, green finance has significantly improved the local ecological livable environment but reduced the ecological livable environment of surrounding provinces. Based on the above conclusions, this paper suggests that the government should pay more attention to green finance and technological innovation and coordinate the development of the ecological livable environment among provinces. The research results provide empirical evidence for better developing green finance and improving the ecological livable environment and also provide certain theoretical guidance for China's coordinated regional development and high-quality economic development.

The digital economy and the green and high-quality development of the industry-a study on the mechanism of action and regional heterogeneity

Consistently rising carbon emissions in the global economy make it more challenging to meet the goals of the Paris climate agreement. Knowing what factors play a role is essential to help shape strategies to reduce carbon emissions. While there is a wealth of material on how GDP expansion correlates with increases in carbon emissions, little is known about how democracy and renewable energy could improve environmental conditions in developing nations. The purpose of this article was to use fair data to assess the effect of renewable energy and green technology advances on carbon neutrality in 23 provinces across China from 2005 to 2020. The research used the dynamic ordinary least square, the fully modified ordinary least square, and the two-step GMM to determine that digitalization, industrial development, and health expenditures result in lower carbon emissions. Urbanization, tourism, and per capita income in certain Chinese provinces also drove carbon emissions. The study also showed that the impact of these factors on carbon emissions varies depending on the amount of economic growth. Environmental pollution is reduced due to the digitalization of tourist and healthcare costs, industrial development, and urbanization. According to the study's findings, we advise these nations to seek economic growth and invest in health care and renewable energy initiatives.

Green finance, environmental pollution and high-quality economic development-a study based on China's provincial panel data

Under the new normal, green finance is inevitably linked to high-quality economic development in China. Based on 30 province panel data sets from China from 2010 to 2019, this research employs an innovative spatial econometric model to integrate green finance, environmental pollution and high-quality economic development into a unified empirical analysis framework. Regional green finance and high-quality economic development have spatial spillover effects in China, according to spatial auto-regressive and spatial error model tests, with the eastern region leading, the central region running in parallel and the western region chasing, because of a strong moderating effect in the eastern region. Green finance contributes greatly to high-quality economic development, but increased environmental pollution impedes high-quality economic development. Green financing can help to mitigate the detrimental effects of pollution on high-quality economic development. According to the mechanism of action analysis, green finance reduces pollution by modifying the industrial structure and boosting scientific and technological growth. Finally, the green finance threshold test demonstrates a nonlinear impact on economic quality development after passing a specified threshold value and has a strong threshold characteristic. This research has policy implications since it improves understanding of the dynamics of high-quality economic development as well as the benefits, mechanisms and heterogeneity of green finance in reducing pollution and empowering high-quality economic development.

Understanding the role of green finance and innovation in achieving the sustainability paradigm: application of system GMM approach

THe central challenge facing China's sustainable development is how to strike a balance between economic growth and environmental conservation. In China's ongoing economic revolution, green finance is more important than ever. The study empirically examined how green finance and innovation affect carbon emissions using panel data from 30 Chinese provinces gathered between 2010 and 2020. The empirical analysis is undertaken to utilize a series of methods to investigate the impact of green finance on carbon emissions. The findings show that increased green finance, innovation, and industrial structure reduce carbon output. Moreover, carbon emissions increase with increasing trade openness and economic growth. In order to achieve sustainable development goals through economic and environmental sustainability, it has been discovered that green finance can foster green technology innovation and green business.

Evaluating low-carbon economic peer effects of green finance and ICT for sustainable development: a Chinese perspective

With the adoption of the United Nations Sustainable Development Goals and the Paris Climate Agreement, ADB's involvement should not be ignored. The Global Environment Facility (GEF) and ADB have teamed up to provide climate change financing for developing countries. Included in this is climate protection finance, the financing method that offers cash to assist the region in achieving ecological responsibility. Using a systematic framework, the researchers in this study examined the rationale for building a cohort result of green management in China in the new phase of the country's development. As part of a multiplicative framework, the long-term correlation between variables is quantified using the dynamic common correlated effect (D-CCE) and interactive fixed effect. According to the findings, renewable energy and green financing are good environmental indicators. Environmental degradation is negatively affected by green governance. Some people are concerned about how to dispose of ICT, yet on the other side, ICT can help cut carbon emissions with new clean technologies. Moreover, the findings show that urbanization and per capita income increase carbon emissions. The results suggest that Chinese officials need to support reducing carbon emissions through the development of ICT infrastructure, green financing, and renewable energy.

The impact of digital finance on pollutants emission: evidence from chinese cities

This paper investigates whether emerging digital finance can reduce environmental pollution in China based on data from 273 of China's prefecture-level cities spanning the period from 2010 to 2017. The dynamic spatial econometric models (DSDM) find a significant negative association between digital finance and pollutants emissions, and the impacts vary among regions and urban development stages. The impact mechanism test proves that digital finance reduces pollutants emissions through technological innovation, structural adjustment, and capital allocation effects. In addition, we explore the different dimensions of digital finance and find that the depth of use has a more practical effect on reducing emissions. Further analyses based on the threshold model show an inverted N-shaped nexus between digital finance and emissions. The threshold effect also exists in terms of the traditional financial level. Our study proves that emerging digital finance crucially affects its potential benefits to environment and provides an empirical basis for policy-makers to accelerate the digitalization of financial markets, particularly paying attention to its emission-reduction effects.

The Impact of Fintech Development on Air Pollution

Over the past 40 years of reform and opening-up, China has achieved rapid economic and technological growth at the cost of severe air pollution. The emerging Fintech, as the result of financial institutions' adapting to the latest digital technology, might be a solution to reduce air pollution. This paper investigates the impact of Fintech development on air pollution using a two-factor fixed effects model based on data for prefecture-level cities in China from 2011 to 2017. The findings show that Fintech development can effectively reduce air pollution emissions, and this conclusion is proved to be robust throughout a series of tests. The mechanism analysis shows that Fintech reduces air pollution by promoting digital finance and green innovation.

Digital inclusive finance, financial mismatch and the innovation capacity of small and medium-sized enterprises: Evidence from Chinese listed companies

As the main driver of innovation, enterprises can effectively promote the level of social innovation. This paper incorporates digital inclusive finance into the research framework of innovation in Small and Medium-sized enterprises, and investigates the impact of digital inclusive finance on the innovation ability of Small and Medium-sized enterprises through theoretical and empirical analyses. The theoretical analysis finds that digital inclusive finance can compensate for the "long-tail effect" in the financing process and help enterprises obtain financing loans. In terms of empirical analysis, this paper has conducted empirical tests by selecting the innovation data of Chinese A-share listed companies from 2010 to 2021, and the results show that: (1) Digital inclusive finance still has a facilitating effect on the technological innovation capability of Small and Medium-sized enterprises after the robustness test. (2)The mechanism evaluation finds that the digital inclusive finance segmentation indicators, i.e., the depth of use, the breadth of coverage and the degree of digitalization, are also important ways to enhance the technological innovation capability of Small and Medium-sized enterprises. (3)The innovative introduction of financial mismatch variables reveals that the financial mismatch problem in the financial market has a suppressive effect on the technological innovation capability of Small and Medium-sized enterprises. (4)Further analysis of the mediation effect of digital inclusive finance reveals that digital inclusive finance can effectively correct the financial mismatch problem in the traditional financial model and promote the technological innovation capability of Small and Medium-sized enterprises. This paper enriches the analysis of the economic effects of digital inclusive finance, while providing Chinese empirical support for digital inclusive finance to promote the innovation ability of Small and Medium-sized enterprises.

Does the development of digital finance curb carbon emissions? Evidence from county data in China

Reducing carbon emissions is the key to fulfilling the "double carbon commitment" and promoting the green transformation of the economy. The financial sector is the forerunner of change in economic development. The rapid development of digital finance has disrupted the traditional financial operation mode and has had a significant impact on economic development and environmental quality. This paper explores the impact of digital finance development on carbon emissions using carbon emission data from 2011 to 2017 in China's counties and combining it with the Digital Inclusive Finance Index of Peking University. The findings are as follows: (1) The development of digital finance can curb carbon emissions, and this causal relationship still holds through a series of robustness tests. The greater the carbon emissions, the better the carbon suppression effect of the development of digital finance. (2) When regions face strict financial regulation and environmental constraints, the development of digital finance can be more effective in reducing carbon emissions. The existence of a digital divide in general can weaken the disincentive effect of the development of digital finance on carbon emissions. (3) The development of digital finance can promote the development of green finance, enhance the level of green technological innovation, improve green total factor productivity, and transform energy structures, thus curbing carbon emissions. This paper not only enriches the literature on the development of digital finance and the environment but also provides a reference for government departments to improve the development strategy of digital finance and achieve "carbon peaking and carbon neutrality."

The spatial panel econometric diagnosis of the influence of green finance on Chinese economic ecologization

Green finance has the obvious impetus function to economic ecologization development. Through the test of the spatial agglomeration degree of China's green finance and ecological economic development index from 2001 to 2017 (30 provinces except for Hong Kong, Tibet, Taiwan, and Macao), this paper analyzes the spatial correlation of the green finance index and the ecological economic development index. It uses the spatial panel econometric regression analysis model to reveal the impact of Green Finance on China's economic ecology. Results show that (1) the development level of green finance and economic ecologization in China has improved to varying degrees in different periods. However, there are still noticeable regional differences between the eastern, central, western, and northeast regions; (2) green finance plays a positive role in promoting economic ecologization. Developing green finance in one province can promote its economic ecologization and positively impact on economic ecologization of surrounding provinces. (3) Economic ecologization also has a positive spillover effect. The improvement of the ecological economic level of a province can drive the improvement of the ecological economic level of other provinces. Therefore, improving green finance across the country has become a meaningful way to promote economic ecology and promote China's high-quality development.

Digital inclusive finance & the high-quality agricultural development: Prevalence of regional heterogeneity in rural China

Developing digital inclusive finance is one of the most effective ways to alleviate financial exclusion in the agriculture sector. For empirical investigation, data from 30 provinces of Rural China is collected from the period 2011 to 2020. The study constructs five dimensions and 22 indicators in total to critically conduct the impact of digital inclusive finance on high-quality agricultural development. The level of agricultural development is measured by entropy weight TOPSIS, and the impact of digital inclusive finance on its high-quality development is empirically tested. The results show that digital inclusive finance has significantly improved the agricultural sector and, particularly, the Eastern region of China has the greatest impact. Three dimensions of digital inclusion finance have regional heterogeneity in terms of impact on agricultural development in Rural China. Data does not show the simple linear relationship between digital inclusion finance and agricultural development quality. The impact of the former on the latter is characterized by the double thresholds. The digital inclusive finance index is the weakest when it is lower than the first threshold that is 4.7704, and the impact of the second threshold that is 5.3186 on high-quality agricultural development is gradually enhanced. After crossing the second threshold, the impact of digital inclusive finance on high-quality agricultural development in Rural China is significantly enhanced. The development of digital inclusive finance should be strengthened in the Central and Western regions to compensate for regional financial imbalances and promote synergy in the high-quality development of agriculture across the country.

Will green financial policy help improve China's environmental quality? the role of digital finance and green technology innovation

To speed up the transformation of green economy and promote the development of green finance, the Chinese government set up pilot zones for green finance reform and innovations in five provinces in 2017. This study constructs a quasi-natural experiment, and uses the difference-in-difference model to explore the impact of pilot zones for green finance reform and innovations policy on environmental quality for the first time. This study also examines the impact mechanism of the policy on environmental quality from the perspective of digital finance and green technology innovation for the first time. The results show that the environmental quality has been improved after the implementation of the pilot zones for green finance reform and innovations policy, and digital finance and green technology innovation have a significant intermediary effect in the process of green financial policy on environmental quality. Meanwhile, the policy effect has regional heterogeneity, with the policy effect in the east stronger than that in the central and western regions. The degree of marketization and informationization can promote the policy effect. This study provides important policy implications for the promotion of green finance reform and innovation pilot zones, and helps the government to evaluate the implementation effect of green finance policy.

Renewable energy, industrial upgradation, and import-export quality: green finance and CO2 emission reduction nexus

There has been a steady decline in carbon dioxide emissions in the world's 19 most industrialized nations even as GDP has increased. These nations' efforts to reduce emissions of carbon dioxide, therefore, to reduction of CO₂ and development of renewable energy are the objective of this research. With the years 1995-2019 as a point of reference, we have selected gross domestic product, GDP, RE, industrial upgrading, and import and export as our independent variables. A panel nonlinear autoregressive distributed lag (NARDL) method is utilized to investigate the links between carbon dioxide emission and these independent variables. For the purpose of determining the direction of causation, the panel heterogeneous causality test is used. RE and standards of export and import were shown to be contributing variables in the decrease of carbon dioxide emissions. The environmental Kuznets curve hypothesis was validated by the estimated findings. Increased carbon dioxide emissions are countered by the positive impulses of technological progress, such as R&D development spending and standards of import and export index. Industrial upgrading and emissions of carbon dioxide, gross domestic product and RE, and industrial upgrading and emissions of carbon dioxide, all have a bidirectional causal link. In particular, a one-way causality between gross domestic product and emissions of carbon dioxide, standards of imports and exports, and industrial upgrading, and industrial upgrading and standards of imports and exports is demonstrated. Following the results, policy suggestions are put out.

Assessing the impact of green finance and urbanization on the tourism industry-an empirical study in China

There is a dearth of empirical studies looking at the link between green economic development and tourism in quantifiable terms. Using panel data from China's 30 provinces from 2005 to 2018, this study investigates the impact of green finance on China's tourism industry. Using renewable energy, income per capita, carbon emissions, and urbanizations as explanatory factors is also utilized. According to estimation, the findings reveal that green finance substantially impacts the tourism business. This positive effect is more pronounced in provinces where economic and social conditions are better, thus boosting the region's tourism industry. The same holds for income per capita, renewable energy, and environmental factors. In addition, urbanization has a negligible effect on the variable being studied. A further way to boost the growth of tourism is through the use of green finance. The empirical findings can benefit China's green financial planning and environmental sustainability.

Waste gas emissions, air pollution treatment, and industrial profit: evidence from China and global implications of green development

This paper proposes a simple model to theoretically analyze the impacts of emissions of waste gases on industrial profit and mainly finds that industrial producers yield products to pursue profit but emit waste gases, protecting atmospheric environment demands for decline in waste gases, emissions impact profit when the process of production is altered as result of public regulations, and actively treating emissions ease the distortions of production and maintain profit. As a comparison, industrial profit is not impacted by emissions when producers are allowed to emit freely. After theoretical analysis, this study also empirically tests the relationship between the emissions of waste gases and profit as evidenced in China and finds that emissions do not significantly impact profit, except for sulfur dioxide with significantly negative impact; industrial producers with increased capacity for treating waste gases obtained more profits. As a result, the cost expended on treating pollution was compensated in the Chinese industrial sector. Successfully declining waste gases for atmospheric environmental protection and maintaining industrial profit for economic output and social development in the Chinese local economy has global implications because many other countries and regions primarily pursue green and sustainable development.

How green finance reduces CO2 emissions for green economic recovery: empirical evidence from E7 economies

The present study examines the effects of green finance on green economic performance index in the presence of income per capita, corporate social responsibilities, green energy, and technical innovations in emerging seven (E7) countries from 2005 to 2018. This study employed second-generation panel cointegration methodologies. The result of the cross-sectional dependency and slope heterogeneity test confirms that the panels are correlated and there exists slope heterogeneity. The results for the short- and long-run confirm the relationship between green economic performance index, green finance, GDPC, technological innovation, CSR, and green energy. In both the short- and long-run, green finance, technological innovation, and CSR decrease the carbon emissions and increase green economic growth, whereas income per capita and GDPC significantly increase the carbon emissions. The robustness check findings obtained D-H panel causality test validate the results. Reducing energy usage by adopting efficient technologies should be encouraged through green financing reforms implemented by policymakers.

The impact of green finance on environmental degradation in BRI region

The Belt and Road Initiative (BRI) is one of the largest infrastructure projects in the world, accounting for more than 30% of global GDP and 60% of world population. The economic growth of BRI member countries can be improved significantly, attributable to the successfulness of the infrastructure projects. The increased economic growth indirectly leads to higher energy consumption and environmental damage. In response to this, the BRI established a new concept and version of the project, namely green BRI. Thus, this study aims to examine if green finance plays a significant role in mitigating environmental degradation in the BRI region. Utilising a Generalised Method of Moments approach, we find green finance is negatively and significantly correlated with environmental degradation, suggesting green finance play an essential role to reduce the deterioration of environmental quality, while enhancing economic growth at the same time. In conclusion, BRI member states should continue promoting green finance by implementing incentive schemes, such as subsidising interest rates for the green loan, reducing corporate tax and establishing green credit guarantee scheme. Besides, in order simultaneously enhance economic growth, promote sustainability and achieve the 2030 Sustainable Development Goals, both governments and private sector should work hand in hand to promote green transformation of BRI.

Invading the dynamics of economic growth and CO2 emission: panel data error correction model (ECM) approach

This paper examined the impact of green finance and financial technology on economic growth by utilizing statistics between 1990 to 2000 gathered from 50 US states and regions. A two-step generalized GMM was used to analyze the link between green finance, financial technology, and continued economic growth using panel regression analysis. We found that the US green finance sector had grown significantly and such growth was accompanied by an increase in the usage of non-combustible energy and an advancement in the green finance economic forum. This research concludes that green financing has a beneficial impact on all three components of continued financial development. There is a favorable influence of financial technology on green finance in environmental and economic dimensions, although the link between green banking and investment performance is only somewhat affected by technology. When total emissions increased, non-oil energy usage did not grow and initiatives for renewable energy initiatives were lacking. As a result, there was a decline in the growth of green finance. Green funding and total emissions had a significant impact on the US non-combustible energy usage as did explicit policy changes. The recommendation is also canvassed to strengthen the adoption of green financing policies, increase the use of non-combustible energy, and build an alternative energy economy. It also offers three policy recommendations for policymakers, namely, to improve the integration of banking technology with green finance, develop a corporate environmental approach to manage and control state authorities in increasing green finance productivity, and generate medium- and long-term favorable steps to support green finance in the financial market.