Original scientific paper
https://doi.org/10.1080/1331677X.2022.2038650
Clean energy projects in Asian economies: does FDI and stock market matter for sustainable development?
Chun Jiang
Yaqi Chang
Abstract
The FDI and the stock market are the key sources of finance for
clean energy projects to become a reality on a global level, and
are considered significant drivers of green growth. Therefore, this
study examines the effects of the FDI inflows and the stock market development on clean energy production in the top-FDI
receiving countries. The data in this regard spans from the time
period pertaining to the years 1991 to 2019. The empirical results
of the group-wise estimates show that the FDI inflows, and the
stock market development play a significant role in promoting
clean energy production in the long run. Furthermore, the economy-wise estimates also show that the FDI inflow tends to positively affect the clean energy production in China, Singapore,
Russia, India, Indonesia, and South Korea. However, the development experienced in the stock market also positively affects clean
energy production in all the selected Asian economies. Thus, it
can be affirmed that the governments should also encourage foreign investors, and at the same time divert stock market funds to
Asia’s renewable energy projects.
Keywords
Stock market development; FDI; renewable energy; clean energy; Asia
Hrčak ID:
302876
URI
Publication date:
31.3.2023.
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