The correlation between the degree of green transformation of the financial industry and China’s economic growth——Based on empirical analysis

Abstract

With the increasingly serious global environmental problems, green finance has become an important way to promote sustainable economic development. As the world’s largest developing country, China’s financial industry’s green transformation degree of impact on economic growth is significant. Based on empirical analysis, this study explores the relationship between the degree of green transformation of the financial sector and China’s economic growth. By constructing an econometric model, using the time series data, this study analyzes the expenditure of energy conservation and environmental protection as the main explanatory variables, analyzes its influence on economic growth, and reveals its mechanism. The results show that the green transformation of the financial sector can significantly promote China’s economic growth. In addition, this study also discussed the green finance policy in promoting economic growth is likely to face challenges in the process of, and puts forward the corresponding policy Suggestions, to further enhance the green transformation of the financial industry, to strengthen its promoting effect on economic growth.