Evaluating the influence of financial technology (FinTech) on sustainable finance: a comprehensive global analysis

This paper aims to investigate the influence of financial technology (FinTech) on sustainable finance. The sample for this study spans from 2010 to 2021, encompassing data from 89 countries. The study employed a two-stage least-square regression approach with the instrumental variables and confirmed...

Full description

Saved in:
Bibliographic Details
Published inFinancial markets and portfolio management Vol. 38; no. 1; pp. 123 - 155
Main Authors Kashif, Muhammad, Pinglu, Chen, Ullah, Saif, Zaman, Mubasher
Format Journal Article
LanguageEnglish
Published New York Springer US 01.03.2024
Springer Nature B.V
Subjects
Bank technology
Business and Management
Finance
Generalized method of moments
Management
Financial technology
Q01
O14
Q4
Renewable energy
C23
Globalization
Institutional quality
F02
Sustainable development goals
G2
Sustainable finance
Online AccessGet full text

Cover

More Information
Summary:This paper aims to investigate the influence of financial technology (FinTech) on sustainable finance. The sample for this study spans from 2010 to 2021, encompassing data from 89 countries. The study employed a two-stage least-square regression approach with the instrumental variables and confirmed the findings using a two-step system generalized method of moments. The findings show that FinTech has a significant favorable impact on sustainable finance. Other factors such as institutional quality, socioeconomic condition, and renewable energy have a significant and beneficial influence on the trajectory of sustainable finance, except the impact of globalization, which is positive but insignificant. Furthermore, FinTech is crucial to driving the transition toward a sustainable future distinguished by a lower carbon economy. The study found that FinTech has extensive application across various sectors of sustainable finance and has substantial potential to create long-term positive effects in this regard. FinTech can further integrate with other technologies to facilitate diversified growth in sustainable finance. Additionally, this study highlights FinTech-related trends and research opportunities in sustainable finance, demonstrating how they can help each other advance worldwide with significant policy implications for countries seeking to advance sustainable finance through technology.
ISSN:1934-4554
2373-8529
DOI:10.1007/s11408-023-00439-w