Achieving Sustainable Development Through Green Finance: A Case Study of High‐Emission Industries

Green transformation refers to the process of reshaping business practices to foster growth while conserving resources and driving effective change across processes, functions, products, business models, and organizational culture. This research investigates the key factors driving transformation finance and its role in facilitating the green transformation of high‐carbon‐emitting companies. Adopting a mixed‐methods approach that integrates both quantitative and qualitative techniques, the study delves into the intricate connections between sustainable development, technological innovation, human capital, government actions, financial efficiency, environmental regulations, and green finance. Data were collected from 268 targeted entrepreneurs, with follow‐up interviews with 188 participants enriching the insights. The correlation and regression analyses demonstrate meaningful associations between the independent variables and the dependent variable, green transformation. Additionally, the reliability and consistency assessments ensure the internal consistency of the measurement model, thereby enhancing the credibility of the results. Hypothesis testing supports the study's hypotheses, confirming the interconnectedness of key factors driving green transformation. The primary contribution of this study is its in‐depth analysis of the role of green finance in facilitating the transformation of high‐carbon‐emitting industries, providing actionable insights for policymakers, businesses, and financial institutions. The study also offers a nuanced understanding of how financial mechanisms, regulatory frameworks, and innovation strategies can collectively drive sustainable practices in high‐emission sectors, advancing the transition toward a low‐carbon economy.