Can Green Finance Policies Stimulate Technological Innovation and Financial Performance? Evidence from Chinese Listed Green Enterprises

Mo Du, Ruirui Zhang, Shanglei Chai, Qiang Li, Ruixuan Sun and Wenjun Chu
Additional contact information
Mo Du: School of Accounting, Shandong Youth University of Political Science, Jinan 250103, China
Ruirui Zhang: Business School, Shandong Normal University, Jinan 250358, China
Shanglei Chai: Business School, Shandong Normal University, Jinan 250358, China
Qiang Li: Business School, Shandong Normal University, Jinan 250358, China
Ruixuan Sun: Business School, Shandong Normal University, Jinan 250358, China
Wenjun Chu: School of Economics and Management, China University of Petroleum, Qingdao 266555, China

Sustainability, 2022, vol. 14, issue 15, 1-28

Abstract: The impact of China’s green finance policies on renewable energy, clean energy, and other green companies is a hot topic of concern. This study uses the difference-in-differences (DID) model to examine the incentive effect of the Green Credit Guidelines (GCG) on the technological innovation and financial performance of Chinese listed green enterprises. The heterogeneity analysis is carried out from the level of digital finance, green development, and marketization. This study finds that: (1) Green finance is conducive to stimulating the technological innovation and financial performance of green enterprises. (2) Green enterprises in areas with high digital finance levels have a more significant incentive effect on green finance policies, compared to areas with less-developed digital finance. (3) Green enterprises in areas with high levels of green development are more significantly positively affected by green finance policies, compared to areas with less-developed digital finance. (4) The incentive effect of green credit policies on green enterprises in areas with a high degree of marketization is more significant, compared with regions with a lower level of green development. Finally, some policy implications are proposed to provide a reference for China to improve the green financial system to facilitate the financing of green enterprises.

Keywords: green finance; green enterprises; renewable energy; R&D investment; technological innovation; financial performance (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (12)

Downloads: (external link)
https://www.mdpi.com/2071-1050/14/15/9287/pdf (application/pdf)
https://www.mdpi.com/2071-1050/14/15/9287/ (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:gam:jsusta:v:14:y:2022:i:15:p:9287-:d:874705

Access Statistics for this article

Sustainability is currently edited by Ms. Alexandra Wu

More articles in Sustainability from MDPI
Bibliographic data for series maintained by MDPI Indexing Manager ().