The impact of green finance and digital economy on regional carbon emission reduction

This research delves into the interaction among green finance, the digital economy, and carbon emission mitigation. This analysis utilizes a comprehensive dataset covering the period from 2010 to 2022, meticulously gathered from all thirty-one provinces, alongside autonomous regions and municipalities, that constitute the vast geographical expanse of China. The results uncover several pivotal insights: green finance emerges as a crucial instrument in fostering regional carbon emission mitigation; correspondingly, the digital economy also lends a hand in reducing regional carbon emissions; the extent of green technology innovation occupies a central moderating position in the interplay between green finance and carbon emission mitigation; a threshold effect is observed in the impact of green finance on regional carbon emission mitigation, displaying distinct patterns contingent upon the regional population size; the influence of green finance on carbon emission mitigation reveals regional disparities, with the most prominent contribution manifesting in the western region, trailed by the central region, while its impact on the eastern region is comparatively less pronounced; Similarly, the influence of the digital economy on decreasing carbon emissions shows disparities across regions, notably boosting carbon reduction efforts in the eastern regions, while its effect is less marked in the central and western regions.