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Influence of oil prices and precious metals on green growth: Role of digitization in BRICS region

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  • Zhou, Qiyun
  • Wu, Jianpeng
  • Zuo, Xiaoming

Abstract

Mineral and energy prices significantly affect any country's sustainable economic growth. Achieving global economic development without compromising the ecosystem is crucial for developing countries. Perusing this concept, this study explores the comprehensive association of precious and energy metal prices and digitalization on the green growth of the BRICS economies. This study extracted data on oil, gold, silver, platinum, palladium, copper, aluminium, and nickel prices and constructed a digitalization index to draw its linkages with multifactor green productivity (green growth). It applies the Method of Moment Quantile Regression (MMQR) and reveals that energy prices and precious metals influence green growth negatively; however, these effects are substantially varied at different levels of green growth. In contrast, digitization supports green transformation in the BRICS region. Implementing digital innovation in industries and establishing sustainable securities play a crucial role in explaining the green growth of emerging nations. The study's results also underscored the significance of fluctuations in mineral and energy metal prices in influencing green growth, with oil prices playing a pivotal role in shaping the business cycles of these nations.

Suggested Citation

  • Zhou, Qiyun & Wu, Jianpeng & Zuo, Xiaoming, 2024. "Influence of oil prices and precious metals on green growth: Role of digitization in BRICS region," Resources Policy, Elsevier, vol. 91(C).
    • Handle: RePEc:eee:jrpoli:v:91:y:2024:i:c:s0301420724003271
    DOI: 10.1016/j.resourpol.2024.104960
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