Assessing the influence of green finance, renewable energy and digitization in stimulating economic expansion: Lessons from emerging economies

IF 16.3 1区工程技术 Q1 ENERGY & FUELS

Renewable and Sustainable Energy Reviews Pub Date : 2025-01-30 DOI:10.1016/j.rser.2025.115413

Samuel Mensah Owusu , Patrick Acheampong

{"title":"Assessing the influence of green finance, renewable energy and digitization in stimulating economic expansion: Lessons from emerging economies","authors":"Samuel Mensah Owusu , Patrick Acheampong","doi":"10.1016/j.rser.2025.115413","DOIUrl":null,"url":null,"abstract":"<div><div>This study investigates the determinants of economic expansion in the E7 nations—Brazil, China, India, Indonesia, Mexico, Russia, and Turkey—focusing on the interplay between carbon emissions (CEM), renewable energy consumption (REC), green finance (GFN), digitalization (DIG), and institutional quality (INQ). Using panel data spanning 1990–2020 sourced from the World Development Indicators and employing the Driscoll-Kraay standard error method for robust econometric analysis, the study provides novel insights into these factors. The findings reveal that carbon emissions significantly challenge sustainable growth, necessitating urgent environmental policy interventions. Digitalization is a major economic development catalyst, with enhanced ICT access and digital infrastructure driving productivity and innovation. Both renewable energy consumption and green finance are highlighted as pivotal in fostering environmentally sustainable economic growth by creating jobs and promoting green investments. Additionally, institutional quality plays a crucial role in shaping growth outcomes, with weak governance structures identified as impediments due to corruption and inefficiency. The study concludes with policy recommendations emphasizing the need for robust environmental policies, digital and renewable energy infrastructure investments, and strengthening institutional frameworks to ensure sustainable and inclusive growth in the E7 economies.</div></div>","PeriodicalId":418,"journal":{"name":"Renewable and Sustainable Energy Reviews","volume":"212 ","pages":"Article 115413"},"PeriodicalIF":16.3000,"publicationDate":"2025-01-30","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"0","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Renewable and Sustainable Energy Reviews","FirstCategoryId":"1","ListUrlMain":"https://www.sciencedirect.com/science/article/pii/S1364032125000863","RegionNum":1,"RegionCategory":"工程技术","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q1","JCRName":"ENERGY & FUELS","Score":null,"Total":0}

引用次数: 0

Abstract

This study investigates the determinants of economic expansion in the E7 nations—Brazil, China, India, Indonesia, Mexico, Russia, and Turkey—focusing on the interplay between carbon emissions (CEM), renewable energy consumption (REC), green finance (GFN), digitalization (DIG), and institutional quality (INQ). Using panel data spanning 1990–2020 sourced from the World Development Indicators and employing the Driscoll-Kraay standard error method for robust econometric analysis, the study provides novel insights into these factors. The findings reveal that carbon emissions significantly challenge sustainable growth, necessitating urgent environmental policy interventions. Digitalization is a major economic development catalyst, with enhanced ICT access and digital infrastructure driving productivity and innovation. Both renewable energy consumption and green finance are highlighted as pivotal in fostering environmentally sustainable economic growth by creating jobs and promoting green investments. Additionally, institutional quality plays a crucial role in shaping growth outcomes, with weak governance structures identified as impediments due to corruption and inefficiency. The study concludes with policy recommendations emphasizing the need for robust environmental policies, digital and renewable energy infrastructure investments, and strengthening institutional frameworks to ensure sustainable and inclusive growth in the E7 economies.

查看原文本刊更多论文

求助全文

约1分钟内获得全文求助全文

来源期刊

Renewable and Sustainable Energy Reviews 工程技术-能源与燃料

CiteScore

31.20

自引率

5.70%

发文量

1055

审稿时长

62 days

期刊介绍： The mission of Renewable and Sustainable Energy Reviews is to disseminate the most compelling and pertinent critical insights in renewable and sustainable energy, fostering collaboration among the research community, private sector, and policy and decision makers. The journal aims to exchange challenges, solutions, innovative concepts, and technologies, contributing to sustainable development, the transition to a low-carbon future, and the attainment of emissions targets outlined by the United Nations Framework Convention on Climate Change. Renewable and Sustainable Energy Reviews publishes a diverse range of content, including review papers, original research, case studies, and analyses of new technologies, all featuring a substantial review component such as critique, comparison, or analysis. Introducing a distinctive paper type, Expert Insights, the journal presents commissioned mini-reviews authored by field leaders, addressing topics of significant interest. Case studies undergo consideration only if they showcase the work's applicability to other regions or contribute valuable insights to the broader field of renewable and sustainable energy. Notably, a bibliographic or literature review lacking critical analysis is deemed unsuitable for publication.