Does green finance mitigate the effects of climate variability: role of renewable energy investment and infrastructure.

Few researches have inspected the task of green finance in reducing CO2 emissions, while earlier studies have inspected the influence of economic development on carbon emissions. A green finance development index is built using four indicators to fill in this knowledge gap: green credit, green insurance, green securities, and green investing. Using data spanning the years 2005-2019, a panel quantile regression is applied to investigate the links between green finance, renewable energy, and CO2 emissions. Increases in renewable energy use and advances in the green finance development index have contributed to a reduction in CO2 emissions from BRICS countries. CO2 emissions on the other hand slowed the growth of renewable energy use, slowed the flow of investment to green projects, and ultimately hampered the development of green finance. There was also a clear policy-driven influence on renewable energy spending in the countries of the BRICS region. Green finance policies, on the other hand, have consistently failed to have a long-term impact. Therefore, rising the consumption of renewable energy and creating a carbon trading market are all part of this study's recommendations for green finance policy improvement.

Assessing the efficiency and total factor productivity growth of the banking industry: do environmental concerns matters?

This paper investigates the efficiency and total factor productivity (TFP) growth of the Pakistani banking industry and determines the impact of risk and competition on the efficiency and TFP growth. The data envelopment analysis (DEA)-based Malmquist productivity index is used to measure efficiency and TFP growth of the Pakistani banking industry. The generalized method of moments (GMM) model is applied to observe the impact of risk and competition on efficiency and TFP growth. The motivation behind the use of GMM model is its ability to overcome unobserved heterogeneity, autocorrelation, and endogeneity issues. The results of the study show that the credit and liquidity risks have positive while insolvency risk has negative effect on the efficiency and TFP growth. The competition leads to improve technological efficiency but declines the technical efficiency growth. Among other explanatory variables, operational cost management, banking sector development, GDP growth rate, and infrastructure development show significant relationships with various efficiencies and TFP growth. The banks also facilitate for the purchase of carbon-intensive products in order to reduce carbon emissions. Strong banking development successfully allocate their financial resources for the development of energy-efficient technology while banking sector development is found to be negatively related with environmental sustainability. The strong banking sector possesses a significant negative influence on carbon reduction and environmental degradation.

Impacts of risk and competition on the profitability of banks: Empirical evidence from Pakistan.

The purpose of this paper is to investigate the impact of risk and competition on the profitability of the Pakistani banking industry. Data are retrieved from the annual statements of banks, the Ministry of finance Pakistan and the World Bank covering the period of (2007-2017). Two steps Generalized Method of Moments (GMM) with the collapse command is used as an estimation technique to overcome endogeneity, unobserved heterogeneity and autocorrelation problems. The results of the study showed that the liquidity risk has positive while credit risk, insolvency risk and competition hurt negatively the profitability of Pakistani banks. The results of the study also revealed that capitalization, size, taxation and GDP growth rate positively affect the Banks' profits while banking sector development and infrastructure negatively affect banking profitability in Pakistan. The operational cost management positively affects net interest margins but negatively affects ROA and PBT in the Pakistani banking industry.