The role of green finance and energy innovation in neutralizing environmental pollution: Empirical evidence from the MINT economies

• Published in: Journal of environmental management Vol. 317; p. 115500
• Main Authors: Li, Cai, Sampene, Agyemang Kwasi, Agyeman, Fredrick Oteng, Brenya, Robert, Wiredu, John
• Format: Journal Article
• Language: English
• Published: Elsevier Ltd 01.09.2022
• Subjects: Energy innovation; Environmental pollution; Green finance; MINT; Renewable energy; Urbanization; Energy innovation; Urbanization; Environmental pollution; Renewable energy; Green finance; MINT
• ISSN: 0301-4797; 1095-8630
• DOI: 10.1016/j.jenvman.2022.115500

Pursuing ecological sustainability while mitigating the effects of environmental pollution has become a global pursuit. Moreover, the issue of how emerging economies like Mexico, Indonesia, Turkey, and Nigeria (MINT) economies can significantly reduce environmental pollution (EVP) remains elusive. This study sought to investigate the interplay between economic growth, green finance, renewable energy use, natural resource rent, energy innovation, urbanization and environmental pollution by analyzing panel data from 1990 to 2020. This research employed the novel econometrics approach CS-ARDL to examine the short and long-term relationships among the series. The research outcome disclosed that economic growth, natural resource rent and urbanization increase environmental pollution. In contrast, the empirical findings of this study revealed that environmental pollution could be neutralized through effective mechanisms such as green finance, renewable energy consumption, and the promotion of energy innovation. This research provides a fresh insight from the MINT economies and contributes to the existing literature by examining factors contributing to environmental pollution. This research also provides a benchmark for policy-makers and governments to invest in environmentally-friendly technologies to exploit the natural resources in these countries to mitigate the effect of environmental pollution. •Economic growth, natural resource rent and urbanization positively affect environmental pollution.•Energy innovation and green finance negatively affect environmental pollution.•Renewable energy use, economic growth, green finance, energy innovation has a unidirectional with environmental quality.•There exists a bi-directional relationship between natural resource rent, urbanization and environmental quality.