The role of green financing in promoting environmental accountability and corporate growth through ESG integration
摘要
This study examines the relationship between ESG (environmental, social, and governance) performance and the growth of green financing, using data from corporations spanning 2014 to 2020. ESG reporting is crucial for long-term sustainability. Research indicates that preventing greenwashing can enable green financing to enhance ESG performance. Our findings suggest that green financing boosts profits, alleviates financial constraints, and provides numerous additional benefits. By incentivizing environmental accountability, green finance discourages environmentally harmful practices in polluting companies, those not publicly traded, or those under stringent environmental regulations. This study presents a novel perspective on the advantages of green finance in developing economies by incorporating ESG factors.