IDEAS home Printed from https://ideas.repec.org/a/eco/journ2/v16y2025i1id21980.html

Green Finance and Environmental Pollution: Empirical Evidence from Asia

Author

Listed:
  • Dang, Anh

    (Ho Chi Minh University of Banking, Vietnam)

Abstract

This paper analyzes the impact of green finance on carbon emissions in 12 Asian countries during the period 2014-2024. Green finance is measured through three dimensions: green credit, green investment, and green building, along with control variables such as population density, GDP per capita, economic growth rate, and energy consumption. The results of the fixed-effects model indicate that green credit and green investment have a statistically significant negative relationship with carbon emissions, while green building does not show a clear effect. To quantify the overall impact, a composite green finance index is constructed using the Principal Component Analysis (PCA) method, and the results further confirm the positive role of green finance in reducing environmental pollution. Robustness checks conducted with alternative dependent and independent variables yield consistent results. Based on these findings, the study suggests several policy implications, including the expansion of green credit and green investment, the promotion of renewable energy use, and the establishment of a sustainable green financial system to achieve green development goals across Asia.

Suggested Citation

  • Dang, Anh, 2025. "Green Finance and Environmental Pollution: Empirical Evidence from Asia," International Journal of Energy Economics and Policy, Econjournals, vol. 16(1), pages 870-877, December.
    • Handle: RePEc:eco:journ2:v:16:y:2025:i:1:id:21980
    DOI: 10.32479/ijeep.21980
    as

    Download full text from publisher

    File URL: https://econjournals.com/index.php/ijeep/article/download/21980/9659
    Download Restriction: no
    File URL: https://libkey.io/10.32479/ijeep.21980?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eco:journ2:v:16:y:2025:i:1:id:21980. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Monica Sinhat (email available below). General contact details of provider: https://econjournals.com/index.php/ijeep .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.