Green Bond Development and Smart Technologies: A Causal Analysis for Sustainable Competitiveness in E7 Countries
Hong Yu, Zhang Ruobing, Xintong Liu, Serhat Yüksel, Serkan Eti, Hasan Dinçer
Keywords:
Green bonds, renewable energy projects, research and development, carbon emissions, econometric analysis, sustainable competitiveness
Abstract:
There are not enough studies in the literature to determine which variables have the most critical effects on the development of green bonds. This research gap creates uncertainty in the formation of strategic policy and investment decisions and emerges as an important research gap. To fill this gap, this study aims to determine the factors affecting the development of green bonds. For this purpose, an econometric analysis is carried out using the annual data of the emerging seven (E7) countries for the period 2000–2021. In the analysis, the instrumental variables two-stage least squares (IV-2SLS) technique is preferred to test the relationships more reliably. The main contribution of this study is that the most critical variables affecting the development of green bonds have been prioritized. Moreover, considering the instrumental variables two-stage least squares (IV-2SLS) technique makes it possible to test the causality relationship statistically. This situation contributes significantly to the results being more reliable. The findings demonstrate that the carbon emission problem positively affects the increase in green bonds. Similar to this situation, there is also a positive correlation between renewable energy projects and green bond improvements. In line with these results, it is recommended that governments implement incentive mechanisms such as tax reductions, develop independent auditing and ethical reporting standards, and ensure macroeconomic stability.
Fulltext download:
 Green Bond Development and Smart Technologies: A Causal Analysis for Sustainable Competitiveness in E7 Countries [PDF file] [Filesize: 481.31 KB]
 10.7441/joc.2026.SI.10
Yu, H., Zhang, R., Liu, X., Yüksel, S., Eti, S., & Dinçer, H. (2026). Green Bond Development and Smart Technologies: A Causal Analysis for Sustainable Competitiveness in E7 Countries. Journal of Competitiveness, 18(SI 2), 19–41. https://doi.org/10.7441/joc.2026.SI.10
|
