Dynamic linkages between carbon emission, energy utilization, financial growth and economic growth: evidence from SAARC

The influence of energy utilization, economic growth, trade in products and services, and financial growth on environmental quality, i.e., C02 emissions, in a panel of SAARC nations is investigated in this study. The study utilizes first- and second-generation econometric approaches to address endogeneity and heterogeneity issues. The findings imply that the variables have a co-integration connection. CO2 emissions are influenced favourably by financial development, energy consumption, exports of products and services, and economic expansion. The results suggest that carbon dioxide emissions in SAARC nations may also rise when economic and financial growth rise. This research implies that an increase in energy utilization raises carbon dioxide releases.