Analytic Hierarchy Process Based Comparative Analysis of Green Financing in Developed and Developing Countries: Evidence from China and Ghana

Purpose: This study aims to conduct a comparative analysis of green financing practices in developed and developing countries, focusing on China and Ghana. The purpose is to assess the effectiveness and efficiency of these countries’ green financing policies and regulatory standards and identify key factors influencing their implementation. Design/Methodology/Approach: The research adopts the Analytic Hierarchy Process (AHP) methodology to evaluate and compare the green financing policy and regulatory standards and practices in China and Ghana. A comprehensive set of criteria, including policy support, financial mechanisms, project selection, and environmental impact, is developed to assess the performance of green financing in each country. Findings: The findings reveal significant differences in the green financing policy and regulatory standards landscapes between China and Ghana. China demonstrates a well-established green financing ecosystem, characterized by strong policy support, diverse financial mechanisms, and effective project selection processes. In contrast, Ghana faces implementation challenges in terms of policy and regulatory standards. Practical Implications: The research provides valuable insights for policymakers, financial institutions, and other stakeholders involved in green financing practices. The findings offer specific recommendations to enhance green financing policy and regulatory standards frameworks and practices in both developed and developing countries. Policymakers in developing countries like Ghana can learn from China's experience to strengthen policy frameworks, establish sustainable financial mechanisms, and improve project evaluation systems. Originality/Value: Focusing on China and Ghana, this study provides unique insights into the challenges and opportunities associated with green financing in different contexts. The findings offer practical implications for policymakers and stakeholders seeking to promote sustainable development through effective green financing strategies policy and regulatory standards.