Financial integration and economic growth: impact of renewable energy investments, technology transfer, and climate change on Europe and central Asian economies

Abstract Financial integration plays an important role in fostering global economic growth. Energy demand, technology transfer, sustainable production, and climate change have emerged as key drivers of sustainable development. This study explores the influence of financial integration, bolstered by...

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Main Authors: Abdelmohsen A. Nassani, Muhammad Imran, Shiraz Khan, Khalid Zaman, Haroon ur Rashid Khan, Mohamed Haffar
Format: Article
Language:English
Published: SpringerOpen 2025-02-01
Series:Financial Innovation
Subjects:
Online Access:https://doi.org/10.1186/s40854-024-00733-0
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author Abdelmohsen A. Nassani
Muhammad Imran
Shiraz Khan
Khalid Zaman
Haroon ur Rashid Khan
Mohamed Haffar
author_facet Abdelmohsen A. Nassani
Muhammad Imran
Shiraz Khan
Khalid Zaman
Haroon ur Rashid Khan
Mohamed Haffar
author_sort Abdelmohsen A. Nassani
collection DOAJ
description Abstract Financial integration plays an important role in fostering global economic growth. Energy demand, technology transfer, sustainable production, and climate change have emerged as key drivers of sustainable development. This study explores the influence of financial integration, bolstered by renewable energy-induced trade, industry-driven technology, and environmental concerns, on regional economic growth. This study analyzes a panel of 39 high- and upper-middle-income European and Central Asian countries in 2017–2021. Using a panel generalized method of moments estimator, we reveal an inverted U-shaped relationship between regional economic growth and carbon emissions. Moreover, renewable energy-induced trade contributes positively to regional growth while trade openness and technology transfer further enhance this growth. Industry-driven technology negatively impacts regional growth owing to inadequate financial integration. The absence of sustainable energy infrastructure and industrialization also negatively impacts regional growth. Our study underscores the importance of increasing financial integration to promote sustainable energy-driven trade openness and technology transfer in line with the United Nations’ sustainable development agenda.
format Article
id doaj-art-0bc479c99aac4f5ba4d333645ee77cb3
institution DOAJ
issn 2199-4730
language English
publishDate 2025-02-01
publisher SpringerOpen
record_format Article
series Financial Innovation
spelling doaj-art-0bc479c99aac4f5ba4d333645ee77cb32025-08-20T02:48:30ZengSpringerOpenFinancial Innovation2199-47302025-02-0111112410.1186/s40854-024-00733-0Financial integration and economic growth: impact of renewable energy investments, technology transfer, and climate change on Europe and central Asian economiesAbdelmohsen A. Nassani0Muhammad Imran1Shiraz Khan2Khalid Zaman3Haroon ur Rashid Khan4Mohamed Haffar5Department of Management, College of Business Administration, King Saud UniversityDepartment of Economics, The University of HaripurDepartment of Management Sciences, The University of HaripurDepartment of Economics, The University of HaripurFaculty of Business, The University of Wollongong in DubaiDepartment of Management, Birmingham Business School, University of BirminghamAbstract Financial integration plays an important role in fostering global economic growth. Energy demand, technology transfer, sustainable production, and climate change have emerged as key drivers of sustainable development. This study explores the influence of financial integration, bolstered by renewable energy-induced trade, industry-driven technology, and environmental concerns, on regional economic growth. This study analyzes a panel of 39 high- and upper-middle-income European and Central Asian countries in 2017–2021. Using a panel generalized method of moments estimator, we reveal an inverted U-shaped relationship between regional economic growth and carbon emissions. Moreover, renewable energy-induced trade contributes positively to regional growth while trade openness and technology transfer further enhance this growth. Industry-driven technology negatively impacts regional growth owing to inadequate financial integration. The absence of sustainable energy infrastructure and industrialization also negatively impacts regional growth. Our study underscores the importance of increasing financial integration to promote sustainable energy-driven trade openness and technology transfer in line with the United Nations’ sustainable development agenda.https://doi.org/10.1186/s40854-024-00733-0Financial innovationSustainable energy demandTechnology innovationTrade policyIndustrialization
spellingShingle Abdelmohsen A. Nassani
Muhammad Imran
Shiraz Khan
Khalid Zaman
Haroon ur Rashid Khan
Mohamed Haffar
Financial integration and economic growth: impact of renewable energy investments, technology transfer, and climate change on Europe and central Asian economies
Financial Innovation
Financial innovation
Sustainable energy demand
Technology innovation
Trade policy
Industrialization
title Financial integration and economic growth: impact of renewable energy investments, technology transfer, and climate change on Europe and central Asian economies
title_full Financial integration and economic growth: impact of renewable energy investments, technology transfer, and climate change on Europe and central Asian economies
title_fullStr Financial integration and economic growth: impact of renewable energy investments, technology transfer, and climate change on Europe and central Asian economies
title_full_unstemmed Financial integration and economic growth: impact of renewable energy investments, technology transfer, and climate change on Europe and central Asian economies
title_short Financial integration and economic growth: impact of renewable energy investments, technology transfer, and climate change on Europe and central Asian economies
title_sort financial integration and economic growth impact of renewable energy investments technology transfer and climate change on europe and central asian economies
topic Financial innovation
Sustainable energy demand
Technology innovation
Trade policy
Industrialization
url https://doi.org/10.1186/s40854-024-00733-0
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AT shirazkhan financialintegrationandeconomicgrowthimpactofrenewableenergyinvestmentstechnologytransferandclimatechangeoneuropeandcentralasianeconomies
AT khalidzaman financialintegrationandeconomicgrowthimpactofrenewableenergyinvestmentstechnologytransferandclimatechangeoneuropeandcentralasianeconomies
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AT mohamedhaffar financialintegrationandeconomicgrowthimpactofrenewableenergyinvestmentstechnologytransferandclimatechangeoneuropeandcentralasianeconomies