Is Sustainable Innovation an Impetus to Sustainable Development Goals? Evidence From the EU

Khalid Khan, Adnan Khurshid and Chi Wei Su

Sustainable Development, 2025, vol. 33, issue 3, 3511-3524

Abstract: Innovations in environmental technology are essential to address sustainability challenges. This study examines the sustainable development goals (SDGs) relationship with environmental technological innovation (ETI) in EU countries during 2000–2022, using a panel bootstrap causality approach. The result indicates bidirectional causality between SDGs and ETI. Furthermore, the findings indicate that SDGs have a causal impact on ETI in Belgium, Denmark, Germany, the Netherlands, Iceland, Slovakia, Slovenia, and Spain. Similarly, ETI has a significant influence on SDGs in Austria, Estonia, France, Germany, Latvia, the Netherlands, Poland, and Sweden. However, the remaining countries have no causal relationship between SDGs and ETI. The robust results further validate and confirm the reliability of the main findings, supporting the theoretical framework. Policymakers should incorporate the principles of SDGs into national innovation programs, providing targeted financing, incentives, and regulatory frameworks to support initiatives that align with SDGs.

Date: 2025
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https://doi.org/10.1002/sd.3307

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Persistent link: https://EconPapers.repec.org/RePEc:wly:sustdv:v:33:y:2025:i:3:p:3511-3524

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