Exploring the Nexus Among Financial Advancement, Natural Resources Rent, Green Innovation and Environmental Quality in Pakistan

Purpose- This study examines environmental quality in Pakistan, a developing economy that emphasizes the roles of financial advancement and sustainable energy in shaping environmental policy decisions. Methodology/Design/Approach: This study employed a dynamic autoregressive distributed lag (ARD...

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Main Authors: Muhammad Adnan Afzal, Waqar Ahmed, Nasir Abbas, Muhammad Naeem Shah
Format: Article
Language:English
Published: CSRC Publishing 2025-03-01
Series:Sustainable Business and Society in Emerging Economies
Subjects:
Online Access:https://publishing.globalcsrc.org/ojs/index.php/sbsee/article/view/3234
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author Muhammad Adnan Afzal
Waqar Ahmed
Nasir Abbas
Muhammad Naeem Shah
author_facet Muhammad Adnan Afzal
Waqar Ahmed
Nasir Abbas
Muhammad Naeem Shah
author_sort Muhammad Adnan Afzal
collection DOAJ
description Purpose- This study examines environmental quality in Pakistan, a developing economy that emphasizes the roles of financial advancement and sustainable energy in shaping environmental policy decisions. Methodology/Design/Approach: This study employed a dynamic autoregressive distributed lag (ARDL) model to analyze the relationships between key economic and environmental variables. Findings: This study found that financial advancement, resource rents, and economic growth significantly increased pollution emissions, while green innovations effectively reduced them. We identified one-way causal relationships among these factors, indicating that ecological degradation also affects the interplay between green technologies and financial advancement. Implications: Our findings suggest that achieving net zero emissions, as per the Paris Agreement, is feasible through enhanced investment in green technologies and foreign capital in Pakistan's resource sectors. This study provides policymakers with evidence-based insights into designing effective environmental sustainability strategies that balance economic development with ecological preservation.
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issn 2708-2504
2708-2172
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publishDate 2025-03-01
publisher CSRC Publishing
record_format Article
series Sustainable Business and Society in Emerging Economies
spelling doaj-art-a0ae4626faaf4bdea09e36b4de23c3ec2025-08-20T01:53:16ZengCSRC PublishingSustainable Business and Society in Emerging Economies2708-25042708-21722025-03-017110.26710/sbsee.v7i1.3234Exploring the Nexus Among Financial Advancement, Natural Resources Rent, Green Innovation and Environmental Quality in PakistanMuhammad Adnan Afzal0Waqar Ahmed1Nasir Abbas2Muhammad Naeem Shah3Government College University Faisalabad, PakistanSuperior University Lahore, PakistanGovernment College University Faisalabad, PakistanGovt. Graduate College Civil Lines, Multan, Pakistan Purpose- This study examines environmental quality in Pakistan, a developing economy that emphasizes the roles of financial advancement and sustainable energy in shaping environmental policy decisions. Methodology/Design/Approach: This study employed a dynamic autoregressive distributed lag (ARDL) model to analyze the relationships between key economic and environmental variables. Findings: This study found that financial advancement, resource rents, and economic growth significantly increased pollution emissions, while green innovations effectively reduced them. We identified one-way causal relationships among these factors, indicating that ecological degradation also affects the interplay between green technologies and financial advancement. Implications: Our findings suggest that achieving net zero emissions, as per the Paris Agreement, is feasible through enhanced investment in green technologies and foreign capital in Pakistan's resource sectors. This study provides policymakers with evidence-based insights into designing effective environmental sustainability strategies that balance economic development with ecological preservation. https://publishing.globalcsrc.org/ojs/index.php/sbsee/article/view/3234Financial AdvancementGreen InnovationsNatural Resource RentsEconomic GrowthEnvironmental Quality
spellingShingle Muhammad Adnan Afzal
Waqar Ahmed
Nasir Abbas
Muhammad Naeem Shah
Exploring the Nexus Among Financial Advancement, Natural Resources Rent, Green Innovation and Environmental Quality in Pakistan
Sustainable Business and Society in Emerging Economies
Financial Advancement
Green Innovations
Natural Resource Rents
Economic Growth
Environmental Quality
title Exploring the Nexus Among Financial Advancement, Natural Resources Rent, Green Innovation and Environmental Quality in Pakistan
title_full Exploring the Nexus Among Financial Advancement, Natural Resources Rent, Green Innovation and Environmental Quality in Pakistan
title_fullStr Exploring the Nexus Among Financial Advancement, Natural Resources Rent, Green Innovation and Environmental Quality in Pakistan
title_full_unstemmed Exploring the Nexus Among Financial Advancement, Natural Resources Rent, Green Innovation and Environmental Quality in Pakistan
title_short Exploring the Nexus Among Financial Advancement, Natural Resources Rent, Green Innovation and Environmental Quality in Pakistan
title_sort exploring the nexus among financial advancement natural resources rent green innovation and environmental quality in pakistan
topic Financial Advancement
Green Innovations
Natural Resource Rents
Economic Growth
Environmental Quality
url https://publishing.globalcsrc.org/ojs/index.php/sbsee/article/view/3234
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AT nasirabbas exploringthenexusamongfinancialadvancementnaturalresourcesrentgreeninnovationandenvironmentalqualityinpakistan
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