The Relationship of Green Finance and Green Resource Investment on Green Growth In Brics Country
Keywords:
Green Growth, Green Finance, Green Resource Investment, Renewable Energy ConsumptionAbstract
The rapid growth of the BRICS countries over the past ten years has exacerbated the climate crisis and threatened global development. Their biggest challenge is balancing the drive for socioeconomic growth with environmental preservation. This study analyzes the impact of green finance, green resource investment, and Renewable Energy Consumption on green growth across time periods (short, medium, and long term) in BRICS countries using a VAR (Vector Autoregression) model and World Bank data (2000-2023). This research, through FEVD results, convey that green finance is the second variable after green growth itself that becomes a policy recommendation for the success of green growth in BRICS countries. Green resource investment is the third variable after green finance as a policy recommendation for successful green growth in BRICS countries. Meanwhile, the results of the VAR estimation show that renewable energy consumption is the variable with the largest contribution, followed by green finance. It can be concluded that the role of green finance greatly influences the success of green growth in BRICS countries
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