A Research of Green Finance on Green Innovation

Enterprise green innovation is an important way to achieve the goal of "double carbon" in China and promote high-quality economic growth. This paper constructs a fixed-effect econometric model based on the annual reporting data of A-share listed companies from 2011 to 2021, and studies the influence of green finance on enterprises' green innovation behavior from all aspects. The main results of the analysis are as follows: (1) Green finance has a significant positive impact on the green innovation of enterprises, and it still holds after many robustness tests. (2) Its role in green innovation is mainly through two channels, namely, alleviating the financing friction faced by enterprises and improving the standard of information disclosure. (3) Heterogeneity analysis shows that green finance plays a stronger role in promoting state-owned enterprises and large enterprises, but has no statistical significance in promoting non-state-owned entities and small and medium-sized enterprises. It not only provides reliable empirical support for the theoretical path of linking green finance with green innovation, but also brings practical policy impact to government agencies to improve the policy coordination framework and enterprises to rationally allocate innovation resources.