As a core policy tool for promoting green economic transformation and high-quality development, green finance has significantly optimized the allocation of resources for corporate green innovation, thereby inevitably influencing the efficiency of green innovation in the manufacturing sector. Using the “Green Finance Policy Pilot Program” as a case study, this study employs a multi-period difference-in-differences (DID) model and robustness tests to examine the impact of green finance policies on the green innovation efficiency of Chinese manufacturing firms. The results indicate that green finance policies help enhance the green innovation efficiency of manufacturing firms. Mechanism analysis reveals that green finance policies enhance firms’ green innovation efficiency by alleviating financing constraints for green innovation, improving the quality of environmental information disclosure, and promoting collaborative green technology innovation. Heterogeneity results indicate that the positive correlation between green finance policies and firms’ green innovation efficiency is particularly pronounced among large-scale firms and firms in regions with high levels of green development. This study not only enriches the literature on the micro-level effects of green finance but also provides valuable insights for governments and firms seeking to enhance green innovation efficiency.
Zhang et al. (2026) studied this question.