Can green and blue thematic financing enhance sustainability value? Evidence from Southeast Asia

Purpose This study aims to examine the extent of green and blue finance’s influence using a relevant dimensional approach to sustainability performance and its impact on sustainability value moderated by green innovation and green human capital. Design/methodology/approach This study is a quantitative study with data collection techniques using a content analysis approach based on meaning. It is tested using partial least square structural equation model with two tests: the main model test (moderation and mediation) and the expansion test. Findings The primary model test shows a significant positive effect of blue finance on sustainability performance and green finance on sustainability value. Green innovation moderates the impact of blue finance on sustainability performance, and sustainability performance mediates the effect of blue finance on sustainability value. The expansion model test shows that green credit and microfinance loans affect sustainability value. Research limitations/implications Expanding the process in institutional theory in sustainability, namely, coercive pressure, normative pressure, mimetic pressure and pressure of opportunity. Further researchers can adopt green and blue finance dimensions as a measuring tool. Practical implications This is intended for financial institutions, marine sector companies, investors, regulators and coastal communities. Financial institutions need to implement new financing instruments that are environmentally and marine oriented. Originality/value Institutional theory in sustainability has not been widely used as a basis for sustainable finance, and the dimensions used to measure green finance and blue finance are still limited. In addition, research models that combine moderation, mediation and expansion tests are still limited.