Analysis of the Impact of Outward Foreign Direct Investment of Corporations on Green Innovation in the Context of the Belt and Road Initiative

Amid the global trend of green transformation, existing studies have explored the impact of outward foreign direct investment (OFDI) on economic performance and technological innovation. However, micro-level empirical analyses on how OFDI facilitates green technological innovation through capital and knowledge channels remain insufficient. Drawing on data from China’s A-share listed companies during 2007–2022, this study systematically investigates, for the first time, the pathways through which OFDI influences green innovation, and identifies the mediating mechanisms of financing constraints and R&D investment. Employing fixed effects and mediation effect models, the empirical results reveal that OFDI significantly promotes firms’ green technological innovation, with stronger effects observed among state-owned enterprises, among non-polluting firms, and in the context of invention patent applications. This study enriches the theoretical framework of green innovation and provides empirical evidence and actionable insights for corporate “going global” strategies and green transition policy making.