The Impact of Green Credit on the Green Innovation Level of Heavy-Polluting Enterprises—Evidence from China

et al. 2022

IJERPH

Self Cite

Facing the intensification of global carbon emissions and the increasingly severe pressure of environmental pollution, listed companies urgently need to promote green innovation, achieve green transformation, and alleviate environmental problems. Green finance policy has played a significant role as a financial strategy for environmental governance in affecting green innovation level over the years. In this context, taking the green finance reform and innovation pilot zone (GFRIPZ) implemented in 2017 in China as a quasi-natural experiment, this paper analyzes the impact of green finance policy on green innovation level of listed companies by the difference-in-difference model. Based on the data of Chinese A-share listed companies from 2008 to 2020, the results of empirical analysis show that green finance significantly promotes green innovation of listed companies. The effect is profound on green utility model patents, but less pronounced on green invention patents. Among all these pilot zones, the policy effects of GFRIPZ ranked in descending order are Zhejiang, Guangdong, Jiangxi, Guizhou, and Xinjiang. In addition, green finance has a more significant impact on heavy-polluting industries, large and state-owned enterprises, and listed companies located in the eastern region. Furthermore, the effects of industry heterogeneity ranked in descending order are energy, manufacturing, processing, and engineering industry, while it is not obvious in the service industry. Mechanism analysis suggests that the effect is driven by a reduction in the cost of debt financing and an increase in the long-term debt ratio. The findings provide implications for policymakers to promote the level of green innovation and environmental governance. Therefore, policymakers should support the long-term creative development of green invention patents by reducing the cost of debt financing and increasing the long-term debt ratio and consider the heterogeneous characteristics of listed companies when formulating green finance policies.

Section: Literature Reviewmentioning

confidence: 99%

Whether Green Finance Improves Green Innovation of Listed Companies—Evidence from China

Dong

et al. 2022

IJERPH

Self Cite

“…At the enterprise level, most studies have focused on green innovation, and green credit policies have enhanced green innovation overall [ 31 , 32 ]. There are many studies focusing on heavily polluting enterprises, but the results are divided into two schools of thought, with some studies showing that green credit has promoted innovation in heavily polluting enterprises [ 33 , 34 , 35 ], and others finding that green credit policies have hindered green innovation in heavily polluting enterprises [ 36 , 37 , 38 ]. Green credit policies have promoted investment in environmental management and corporate social responsibility among heavily polluting enterprises [ 39 , 40 ].…”

Section: Literature Reviewmentioning

confidence: 99%

The Impact of the Green Credit Policy on the Short-Term and Long-Term Debt Financing of Heavily Polluting Enterprises: Based on PSM-DID Method

Yang

2022

IJERPH

“Green economy and sustainable development” has become the focus of contemporary world economic development. As an important part of green financial instruments, green credit has become a hot topic. This paper investigates whether the Green Credit Policy has had any impact. Does it have a binding effect on the debt financing of heavily polluting enterprises? Using the Green Credit Guidelines as the starting point for the implementation of the Green Credit Policy, this paper takes Chinese A-share listed enterprises from 2004 to 2020 as the research sample, and applies the propensity score matching combined with difference-in-difference (PSM-DID) method to analyze the impact of green credit policies on the long- and short-term financing scale of heavily polluting enterprises. The study found that the implementation of the Green Credit Policy significantly suppressed the long-term financing of heavily polluting enterprises, but allowed for the expansion of short-term financing for heavily polluting enterprises. Compared with the state-owned enterprises, the Green Credit Policy has a more significant impact on non-state-owned enterprises in terms of suppressing long-term financing and increasing short-term financing, suggesting that the Green Credit Policy is affected by the “credit discrimination” of non-state-owned enterprises. Therefore, the Green Credit Policy still needs to be improved. This study provides empirical evidence of the effectiveness of green credit policies in China, and offers suggestions for further green credit policies in the future.

“…Progressive green innovation is a kind of green innovation that enterprises continuously improve existing green technologies, which can enhance enterprises' performance in a short time and can also be predicted based on financial data [107]. It is characterized by fast innovation development, low risk, and low cost.…”

Section: Progressive Green Innovationmentioning

confidence: 99%

Investigation of Nexus between Knowledge Learning and Enterprise Green Innovation Based on Meta-Analysis with a Focus on China

Sun

et al. 2022

Energies

Knowledge learning is a vital pre-factor and the driving force of green enterprise innovation; hence, meriting the numerous academic research and accumulated relevant literature. In this paper, the meta-analysis methodology was used to explore the direction and intensity of the influence of knowledge learning on green enterprise innovation, taking 32 independent documents as research samples. Meta-analysis results showed that the search breadth and the search depth of green resources and the green resources absorption and integration have significant positive effects on the green innovation of enterprises, among which green resources absorption and integration were the most important. Further, the research on the moderating effect found that the measurement method of green innovation affected the relationship between knowledge learning and green enterprise innovation; however, the moderating effect of the research object was not pronounced.