The influence of green finance on economic growth: A COVID-19 pandemic effects on Vietnam Economy

Abstract

Environmental protection and high economic growth are the global requirement and have attracted the special attention of researchers and policymakers. Thus, the current study is also going to examine the impact of green finance that includes green investment and green loan on the economic growth of Vietnam. The data have been obtained from the central bank of Vietnam and World Bank Indicators (WDI) from 1986 to 2019. This study also executed the Autoregressive Distributed Lag (ARDL) approach to examine the links among the variables. The results exposed that green finance along with all control variables have a positive association with economic growth. These outcomes have guided regulators to increase their focus on green finance that could increase the economic growth in the country.

Keywords

• green finance
• green investment
• green loan
• urban-rural income ratio
• economic growth