The role of green finance in promoting sustainable economic and environmental development
DOI:
https://doi.org/10.25115/eea.v40i3.5398Keywords:
Green finance, Sustainable economic development, Sustainable environmental development, Autoregressive with fixed-effect, OECD countriesAbstract
This study examines green finance's role in sustainable economic and environmental development in the selected 26 OECD countries from 2000 to 2018. Due to the peculiarity of the macroeconomic data, we opted for autoregressive with a fixed-effect model to enable us to account for the autocorrelation and unbalance data settings. The regression analysis shows that green finance promotes sustainable economic and environmental development. Therefore, we recommend promoting green finance by facilitating a solid green financial market, green financial system, and speedy development of the green financial system in underdeveloped areas. This policies may serve as reference for achieving SDGs by 2030.
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