Finance and Green Growth

Ralph De Haas, Ralph De Haas

2021 | Academic | Cost of Capital, Sustainable Investing

Please note that this link may take you to a site external to the MSCI Sustainability Institute.


View the paper

Summary

We find that for a given level of economic development and environmental protection, financial sector size has no impact on CO2 emissions, but that a financial structure tilted towards equity financing reduces per capita emissions significantly.