The Impact Of Green Financing On Sustainable Financial Performance
An Applied Study Of A Sample Of Employees In Iraqi Commercial Banks In The Middle Euphrates Region
DOI:
https://doi.org/10.70062/harmonieconomics.v1i4.52Keywords:
Green Finance, Sustainable Financial PerformanceAbstract
The purpose of this study is to show how much green finance—which includes investments in renewable energy, sustainable infrastructure, green technology, social investment, and green bonds—can help a sample of Iraqi bank employees achieve sustainable financial performance, including accounting, marketing, and comprehensive performance. The research problem was that the banking system and the government must work together effectively to provide the required financial tools, such as low-cost bank loans and exemptions from environmental taxes, in order to achieve sustainable financial performance and make the shift to a green economy. By examining the connection between these factors, two primary hypotheses were created to gauge the degree of influence and linkage. The primary instrument for gathering information pertaining to the field component of the study was the questionnaire form. There were 179 people in the sample. The study included a variety of statistical techniques, including standard deviations, arithmetic averages, and structural equation modeling with the aid of statistical tools (spss.var.29, amos.var.26). The most significant of the conclusions drawn was that green financing has a morally beneficial effect on sustainable financial performance.
References
Arinović-Barac, Ž. (2011). Predicting sustainable financial performance using cash flow ratios: A comparison between LDA and ANN method. Zbornik radova-Sarajevo Business and Economics Review (SBER), (31), 33-58.
Astuti, M., & Rahmawati, A. (2024). Relationship of Supply Chain Finance and Sustainable Financial Performance: A Bibliometric Analysis of Publication Trends using VOSviewer. In E3S Web of Conferences (Vol. 571, p. 03008). EDP Sciences.
Bakry, W., Mallik, G., Nghiem, X. H., Sinha, A., & Vo, X. V. (2023). Is green finance really “green”? Examining the long-run relationship between green finance, renewable energy and environmental performance in developing countries. Renewable Energy, 208, 341-355.
Banker, R. D., Mashruwala, R., & Tripathy, A. (2014). Does a differentiation strategy lead to more sustainable financial performance than a cost leadership strategy?. Management decision, 52(5), 872-896.
Barak, M., & Sharma, R. K. (2023). Investigating the impact of intellectual capital on the sustainable financial performance of private sector banks in India. Sustainability, 15(2), 1451.
Dharmayanti, N., Ismail, T., Hanifah, I. A., & Taqi, M. (2023). Exploring sustainability management control system and eco-innovation matter sustainable financial performance: The role of supply chain management and digital adaptability in indonesian context. Journal of Open Innovation: Technology, Market, and Complexity, 9(3), 100119.
Falcone, P. M. (2020). Environmental regulation and green investments: The role of green finance. International Journal of Green Economics, 14(2), 159-173.
Feng, Y., Akram, R., Hieu, V. M., & Hoang Tien, N. (2022). The impact of corporate social responsibility on the sustainable financial performance of Italian firms: mediating role of firm reputation. Economic research-Ekonomska istraživanja, 35(1), 4740-4758.
Gilchrist, D., Yu, J., & Zhong, R. (2021). The limits of green finance: A survey of literature in the context of green bonds and green loans. Sustainability, 13(2), 478.
Hou, T. C. T. (2019). The relationship between corporate social responsibility and sustainable financial performance: Firm‐level evidence from Taiwan. Corporate Social Responsibility and Environmental Management, 26(1), 19-28.
Li, M., Hamawandy, N. M., Wahid, F., Rjoub, H., & Bao, Z. (2021). Renewable energy resources investment and green finance: Evidence from China. Resources Policy, 74, 102402.
Lu, W., Ye, M., Chau, K. W., & Flanagan, R. (2018). The paradoxical nexus between corporate social responsibility and sustainable financial performance: Evidence from the international construction business. Corporate Social Responsibility and Environmental Management, 25(5), 844-852.
Mohd, S., & Kaushal, V. K. (2018). Green finance: a step towards sustainable development. MUDRA: Journal of Finance and Accounting, 5(1), 59-74.
Mollah, M. A., Amin, M. B., Debnath, G. C., Hosain, M. S., Rahaman, M. A., & Abdullah, M. (2024). Nexus among Digital Leadership, Digital Transformation, and Digital Innovation for Sustainable Financial Performance: Revealing the Influence of Environmental Dynamism. Sustainability, 16(18), 8023.
Muganyi, T., Yan, L., & Sun, H. P. (2021). Green finance, fintech and environmental protection: Evidence from China. Environmental Science and Ecotechnology, 7, 100107.
Nwaorgu, I. A., & Abiahu, M. F. C. (2020). Effect of corporate tax on sustainable financial performance of listed firms in Nigeria. Abiahu, MC & Nwaorgu, IA (2020). Effect of Corporate Tax on Sustainable Financial Performance of Listed Firms in Nigeria. Journal of Taxation and Economic Development, 19(1), 50-63.
Rasoulinezhad, E., & Taghizadeh-Hesary, F. (2022). Role of green finance in improving energy efficiency and renewable energy development. Energy Efficiency, 15(2), 14.
Sachs, J. D., Woo, W. T., Yoshino, N., & Taghizadeh-Hesary, F. (2019). Importance of green finance for achieving sustainable development goals and energy security. Handbook of green finance, 3, 1-10.
Sharma, G. D., Verma, M., Shahbaz, M., Gupta, M., & Chopra, R. (2022). Transitioning green finance from theory to practice for renewable energy development. Renewable Energy, 195, 554-565.
Taghizadeh-Hesary, F., & Yoshino, N. (2019). The way to induce private participation in green finance and investment. Finance Research Letters, 31, 98-103.
Volz, U. (2018). Fostering green finance for sustainable development in Asia. In Routledge handbook of banking and finance in Asia (pp. 488-504). Routledge.
Wang, K. H., Zhao, Y. X., Jiang, C. F., & Li, Z. Z. (2022). Does green finance inspire sustainable development? Evidence from a global perspective. Economic Analysis and Policy, 75, 412-426.
Wang, Y., & Zhi, Q. (2016). The role of green finance in environmental protection: Two aspects of market mechanism and policies. Energy Procedia, 104, 311-316.
Wei, F., Lu, J., & Kong, Y. (2017). Research on sustainability financial performance of chinese listed companies. Sustainability, 9(5), 723.
Xiliang, Q., Kuo, Y. K., Abourehab, M. A., Mabrouk, F., Ramirez-Asis, E., Abdul-Samad, Z., & Makes, N. (2023). The impact of ICT, green finance, and CSR on sustainable financial performance: moderating role of perceived organizational support. Economic research-Ekonomska istraživanja, 36(3).
Yu, C. H., Wu, X., Zhang, D., Chen, S., & Zhao, J. (2021). Demand for green finance: Resolving financing constraints on green innovation in China. Energy policy, 153, 112255.
Zhang, B., & Wang, Y. (2021). The effect of green finance on energy sustainable development: a case study in China. Emerging Markets Finance and Trade, 57(12), 3435-3454.
