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Sustainability
Article . 2023 . Peer-reviewed
License: CC BY
Data sources: Crossref
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Sustainability
Article . 2023
Data sources: DOAJ
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The Dynamic Impact of Financial Technology and Energy Consumption on Environmental Sustainability

Authors: Mohd Afjal; Chinnadurai Kathiravan; Leo Paul Dana; Chitra Devi Nagarajan;

The Dynamic Impact of Financial Technology and Energy Consumption on Environmental Sustainability

Abstract

This research investigates the dynamic interplay between financial technology, information and communication technology, energy consumption, and economic growth on environmental sustainability within Emerging and Growth-Leading Economies (EAGLEs) from 2005 to 2020. Utilizing advanced econometric techniques, such as Fully Modified Least Squares (FMOLS) and Vector Autoregressive Error Correction Model (VECM), the investigation scrutinizes the hypothesized relationships among these variables. Panel unit root tests were deployed to assess stationarity, while panel least squares methodology was employed to determine the presence of co-integration among the variables under study. The analysis reveals that internet usage, GDP, and renewable energy consumption exhibit a notable influence in diminishing CO2 emissions within EAGLE economies. Additionally, the findings substantiate the existence of long-term causality originating from these variables and impacting CO2 emissions. Conversely, the role of ATM networks in CO2 emissions remains ambiguous, implying that financial technology’s influence on environmental sustainability is inconclusive. Consequently, the research posits that environmental sustainability in EAGLE economies is chiefly determined by factors such as internet usage, economic expansion, and renewable energy consumption, with financial technology demonstrating no discernable impact. In light of these findings, the study advocates for the reevaluation and adaptation of existing policies and strategies to account for shifting climatic conditions. By doing so, decision-makers can better align their efforts with the pursuit of environmental sustainability in the context of rapidly evolving economies.

Keywords

EAGLE economies, Environmental effects of industries and plants, TJ807-830, TD194-195, environmental sustainability; financial technology; energy consumption; economic growth; EAGLE economies, economic growth, Renewable energy sources, Environmental sciences, energy consumption, financial technology, GE1-350, environmental sustainability

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    citations
    This is an alternative to the "Influence" indicator, which also reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
    13
    popularity
    This indicator reflects the "current" impact/attention (the "hype") of an article in the research community at large, based on the underlying citation network.
    Top 10%
    influence
    This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
    Average
    impulse
    This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network.
    Top 10%
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citations
This is an alternative to the "Influence" indicator, which also reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Citations provided by BIP!
popularity
This indicator reflects the "current" impact/attention (the "hype") of an article in the research community at large, based on the underlying citation network.
BIP!Popularity provided by BIP!
influence
This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Influence provided by BIP!
impulse
This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network.
BIP!Impulse provided by BIP!
13
Top 10%
Average
Top 10%
gold