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The impact of the level of green finance development on corporate debt financing capacity

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  • He, Yu
  • Liu, Ruizhi

Abstract

The study examines the impact of the level of green finance development on the debt financing capacity of heavy polluters and green enterprises in China. Using the entropy value method to calculate the level of green finance development at the region level from 2007 to 2020, we find that the increase in the level of green financial development helps to enhance the debt financing ability of green enterprises, while suppressing the debt financing ability of heavy polluting enterprises, and promotes the transformation of heavy polluting enterprises from the perspective of enterprise debt financing.

Suggested Citation

  • He, Yu & Liu, Ruizhi, 2023. "The impact of the level of green finance development on corporate debt financing capacity," Finance Research Letters, Elsevier, vol. 52(C).
    • Handle: RePEc:eee:finlet:v:52:y:2023:i:c:s1544612322007280
    DOI: 10.1016/j.frl.2022.103552
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    References listed on IDEAS

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    Cited by:

    1. Xiwen Yin & Dingqing Wang & Jingjing Lu & Lei Liu, 2023. "Does green credit policy promote corporate green innovation? Evidence from China," Economic Change and Restructuring, Springer, vol. 56(5), pages 3187-3215, October.
    2. Lee, Chien-Chiang & Wang, Fuhao & Lou, Runchi & Wang, Keying, 2023. "How does green finance drive the decarbonization of the economy? Empirical evidence from China," Renewable Energy, Elsevier, vol. 204(C), pages 671-684.
    3. Ke Xu & Peiya Zhao, 2023. "Does Green Finance Promote Green Total Factor Productivity? Empirical Evidence from China," Sustainability, MDPI, vol. 15(14), pages 1-26, July.
    4. Xu, Jie & Chen, Fu & Zhang, Weiwei & Liu, Yiting & Li, Tingting, 2023. "Analysis of the carbon emission reduction effect of Fintech and the transmission channel of green finance," Finance Research Letters, Elsevier, vol. 56(C).
    5. Fangbin Qian & Yuanjie Pu & Yunfeng Shang, 2023. "Financing preferences and practices for developing sustainable exhibitions in Chinese companies," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-8, December.
    6. Hanzhi Zhang & Jingfeng Zhang & Chih-Hung Pai, 2024. "Promoting carbon neutrality and green growth through cultural industry financing," Palgrave Communications, Palgrave Macmillan, vol. 11(1), pages 1-8, December.

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