DOES GREEN FINANCE SUPPORT TO REDUCE THE INVESTMENT SENSITIVITY OF ENVIRONMENTAL FIRMS?-Reference-Cited by-同舟云学术

DOES GREEN FINANCE SUPPORT TO REDUCE THE INVESTMENT SENSITIVITY OF ENVIRONMENTAL FIRMS?

Published:2023-08-18 Issue:3 Volume:24 Page:405-421
ISSN:1611-1699
Container-title:Journal of Business Economics and Management
language:
Short-container-title:

Author:

Habib Ashfaq¹^ORCID,Khan Muhammad Asif²^ORCID,Oláh Judit³^ORCID

Affiliation:

1. Department of Business Administration, Faculty of Management Sciences, University of Poonch Rawalakot, AJ&K, Rawalakot 12350, Pakistan

2. Department of Commerce, Faculty of Management Sciences, University of Kotli AJ&K, Kotli 11000, Pakistan

3. John von Neumann University, 6000 Kecskemét, Hungary, Department of Public Management and Governance, College of Business and Economics, University of Johannesburg, Johannesburg 2006, South Africa

Abstract

This study aims to examine the financing cash flow sensitivity into the firm investment of Environment Sensitive Firms (ESFs). To improve the robustness of our analysis, we implement cluster regression to analyze the 300- firms listed on Shenzhen Stock Exchange. The findings of this study indicate that high-ESFs have more financing cash flow volatility in firm investment than low-ESFs. The firms can reduce this volatility by integrating green finance with their financing cash flows. Green finance helps to implement sustainable investment practices and reduces investment volatility by providing the solution to societal issues. It also assists to generate stable cash flows, lower investment risk, and a better governance structure.

Publisher

Vilnius Gediminas Technical University

Subject

Economics and Econometrics,Business, Management and Accounting (miscellaneous)

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