Sustainable Futures (Dec 2024)
Achieving environmental sustainability through technological innovation, good governance and financial development: perspectives from low income countries
Abstract
The research examines the effects of financial development, good governance, and technological innovation on environmental sustainability for eighteen low-income countries between 1996 and 2022. Results are estimated using FMOLS and DOLS regressions. In this study, two models were employed: the first model assessed the ecological footprint, and the second model evaluated healthcare expenditure. The results from model I indicate that control over corruption (COC), financial development (FD), renewable energy (RE), information and communication technologies (ICT) imports, and political stability (PS) significantly reduce the ecological footprint (EF). Conversely, economic growth (GDPPC) and population growth (PG) are associated with an increase in the ecological footprint. Additionally, model II reveals that renewable energy and education lower health care costs. Conversely, increased healthcare costs are attributed to environmental impacts, inadequate sanitary facilities, and a shortage clean water (CW). The study recommends that these nations should promote sustainable practices in information technology, focusing on energy efficiency, responsible waste management, and the development of eco-friendly infrastructure.
