Exploring the role of Fintech, Green Finance and Natural Resources towards Environmental Sustainability: A study on ASEAN economies

ASEAN economies have seen a staggering rise in natural calamities in recent years. Hence, there is an urgent need for the ASEAN economies to develop meaningful strategies to address climate change and create sustainable development opportunities for future generations. The use of Natural Resources (NTR) for such development results in the emission of carbon dioxide (CO2), which harms Environmental Sustainability (ENS). On the other hand, the use of Fintech (FNT) can be a game-changer that would help to maintain high levels of economic growth and eradicate the issues related to the environment. Additionally, the use of Green Finance (GFIN) can also play a starring role in ENS by diverting funds for green growth in an economy. Therefore, the present study explores the role of Fintech, Green Finance and Natural Resources towards Environmental Sustainability. Such a role was explored through a recent and unique statistical technique named the “Cross-section augmented autoregressive distributed lags test” (CS-ARDL). Results of the study show that Fintech can be a gateway for providing the funding needed for green growth, while similarly, Green Finance can also be used to promote green investment and develop green and sustainable projects. The continued use and extraction of Natural Resources, however, can have a detrimental impact on the environment of the ASEAN countries. ASEAN countries are recommended to introduce a carbon tax to ensure that the firms are forced to reduce their CO2 emissions. This taxation should be followed by incentives for the use of renewable energy through the provision of Green Finance. Green bonds can be an ideal finance mechanism to boost Environmental Sustainability in the region.