Empirical Analysis of the Impact of Green Finance and Technological Progress on Total Factor Productivity in China’s Industrial Sector
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Industrial green total factor productivity
Green finance
Technological progress



Submitted : 2023-11-22
Accepted : 2023-12-07
Published : 2023-12-22


The enhancement of industrial green total factor productivity is pivotal for achieving high-quality and sustainable economic development. This study assesses China’s performance using the SBM-GML model, employing province-level panel data spanning from 2004 to 2020. Furthermore, we examine the influence of green finance and technological progress on industrial green total factor productivity using a spatial econometric model. The findings uncover that the relationship between the level of green financial development and industrial green total factor productivity follows a U-shaped curve. Initially, low levels of green financial development exert a suppressive effect on industrial green total factor productivity, proving ineffective in the short term. However, with the progression of green finance development, a positive and significant long-term impact on industrial green total factor productivity emerges. Moreover, technological progress demonstrates a noteworthy promotional effect on industrial green total factor productivity. The analysis delves deeper into revealing that industrial structure and environmental regulation intensity exhibit a significant negative relationship with industrial green total factor productivity. In contrast, both energy structure and education level showcase a substantial positive relationship with industrial green total factor productivity.


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