GREEN FINANCE AND ECONOMIC GROWTH IN NIGERIA

Abstract This study on the impact of transportation on the influence of green finance on economic growth in Nigeria. Annual time series data on the values of governments investments in green energy, carbon finance, GDP, and government carbon credit were used for the ARDL model of regression analysis. The study conducted descriptive statistics, unit root test using ADF, Bounds Test for Cointegration, ARDL-ECM analysis. Other post-estimation analysis conducted include serial autocorrelation, and heteroskedasticity tests. It was found that Government Green Investment (Prob = 0.9471), and Green Credit (Prob = 0.5047) have negative and insignificant relationship with gross domestic growth rate (GDPGR) while Carbon Finance (CAF) (Prob=0.3601) has positive but insignificant relationship with GDPGR. The study concludes that green finance has no significant influence on the GDPGR in Nigeria over the period. It is recommended that policies relating to green finance in Nigeria must be reevaluated to ensure that they contribute to the growth of the economy and not vice versa. Keywords: Green Energy, Green Finance, Gross Domestic Product, Carbon Finance