IDEAS home Printed from https://ideas.repec.org/a/eee/reveco/v102y2025ics1059056025004769.html
   My bibliography  Save this article

Green bond issuance and corporate environmental and financial performance: A meta-analysis

Author

Listed:
  • Khan, Muhammad Arif
  • Vismara, Silvio

Abstract

Green bonds align corporations’ financial investments with their sustainability goals. This meta-analysis synthesizes 132 estimates of environmental outcomes and 108 estimates of financial outcomes to evaluate the impact of green bond issuance on corporate performance. We find that while green bonds positively affect environmental performance, their impact on financial performance is not consistently significant. Subgroup analyses reveal significant heterogeneity in the financial outcomes, influenced by factors such as geographic region, bond maturity, chosen financial metrics, and methodological variations across studies. In contrast, the positive effect on environmental performance appears more robust across diverse contexts. These findings highlight the need for harmonized standards to reduce market fragmentation. Furthermore, targeted policy interventions, such as subsidies and capacity-building initiatives, are crucial to offset the costs associated with green bond issuance and encourage broader adoption across market segments. This study provides insights for policymakers, investors, and stakeholders aiming to enhance the role of green bonds in advancing sustainable development.

Suggested Citation

  • Khan, Muhammad Arif & Vismara, Silvio, 2025. "Green bond issuance and corporate environmental and financial performance: A meta-analysis," International Review of Economics & Finance, Elsevier, vol. 102(C).
    • Handle: RePEc:eee:reveco:v:102:y:2025:i:c:s1059056025004769
    DOI: 10.1016/j.iref.2025.104313
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1059056025004769
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.iref.2025.104313?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
    ---><---

    As the access to this document is restricted, you may want to

    for a different version of it.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;
    ;

    JEL classification:

    • G32 - Financial Economics - - Corporate Finance and Governance - - - Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill
    • G38 - Financial Economics - - Corporate Finance and Governance - - - Government Policy and Regulation
    • C18 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Methodolical Issues: General
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth

    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:eee:reveco:v:102:y:2025:i:c:s1059056025004769. 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: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/620165 .

    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.