The impact of the implementation of the green bond policy on enterprises’ innovation performance

Abstract

The institutional construction of green financial bonds in China began at the end of 2015 and developed rapidly in 2016 and 2017. Based on the background of sustainable development, this article explores the implementation significance of the green bond policy from environmental protection, financial development, and technological innovation. Specifically, the incentive effects of the green bond policy on the technological innovation of enterprises with different levels of pollution are investigated in terms of the difference-in-differences model. According to the analysis, after the implementation of the green bond policy, there is a greater difference in the innovation capabilities between the medium- and high-pollution enterprises and the low-pollution enterprises. Solvency has a negative impact on innovation incentives, profitability and enterprise size have a positive impact on innovation incentives, while development capabilities and age have little effect. Finally, suggestions are put forward to improve the incentive mechanism of green bonds and establish the policy effect evaluation system, so as to promote the sustainable development of enterprises and the high-quality development of green bonds. These results shed light on the significance of green bond policy implementation and point out the direction of enterprise transformation and upgrading in the future.