Strategies for Carbon Finance to Drive Sustainable Economic Development

To address global climate change and propel green economic recovery, carbon finance has emerged as a vital instrument and pivotal pathway. It plays a significant role in optimising national economic structures. This paper examines the role, challenges, and future trajectory of the carbon economy in global economic development. Employing literature review and case study methodologies, the paper concludes that carbon finance occupies a critical position in green economic recovery and has vast developmental potential. It not only broadens financing avenues for enterprises but also strengthens global efforts to combat climate change. Concurrently, China's carbon finance market has gradually emerged, playing a significant role in driving green economic growth and achieving the dual carbon goals. Consequently, governments and enterprises must enhance their understanding and support of carbon finance, and promote its steady and orderly development to advance green economic recovery and sustainable development.