Green Finance and Integrated Socio-economic Development in Sub-Sahara Africa

Purpose: This study assesses how green finance affect integrated economic growth. Specifically, the study investigates the relationship between green finance and agriculture output, environmental protection, technological innovation, child mortality, standard of living (income), food security, education, forest resource and life expectancy between 2012 and 2021. Design/Methodology/Approach: State the research method used, the sampling method, sample size State the type of data primary or secondary and description of analysis used The study used data sourced from World Bank Indicators (WDI), the African Development Bank (ADB), Food and Agricultural Organization (FAO) and the United Nations Environment Programme (UNEP) on the identified variables. First, we use trend analysis to examine the behaviour of the variables and second, to establish the relationship between green finance and integrated socio-economic growth, we use Pearson correlation analysis. Findings: The trend analysis reveals that while green finance fell from 2012 to 2020 and only rose in 2021, socio-economic variables such as CO2 emission, per capita income, technological development index, education enrolment and child mortality have been zig-zag in nature over the years. Agricultural output, food insecurity index, number of undernourished children and life expectancy have been on the rise, at least, up to year 2020. Child mortality and forest areas have however been on the decline. Results of the Pearson’s correlation analysis revealed that while green finance positively correlates per capita income, carbon emission, forest areas and child mortality rate, it negatively correlates number of undernourished children, food insecurity index, school enrolment, technological development index, life expectancy and agricultural output. Practical Implications: The study concludes that green finance was yet to positively affect the socio-economic life of sub-Saharan Africans in an integrated manner on the other hand, green finance is yet to fulfil desired goals in the region under study. It is therefore recommended that stakeholders should increase awareness and education about green finance, develop regulatory frameworks that promote the development of green finance and also mobilize domestic and international capital to finance green projects. Social Implications: Green finance remains an important strategy in the promotion of sustainable integrated socio-economic development in the region Investment in green finance should be tailored towards reducing carbon emission, child mortality, preservation of natural habitat, reduction of unfriendly environmental effects of human activities. Originality and value: the study provides insight into the potential of green finance to alleviate some of the most pressing challenges in SSA countries. This could be used to inform and guide sustainable development plans in the region.