Asymmetric influence of fintech, oil prices, and precious metals on green growth of emerging seven countries

Abstract

The resources and financial technology can be a powerful driver of sustainable economic growth and financial stability in emerging countries. Understanding the pivotal role behind gold, oil, and fintech in achieving green growth, this study intends to establish a cross-section association for Emerging (E-7) countries: Brazil, China, India, Indonesia, Mexico, Russia, and Turkey. The annual data of gold, silver, oil, fintech, and green growth from 1991 to 2022 has been used for empirical analysis. Method of Moment Quantile Regression (MMQR) has been employed to scrutinize the impact of said variables at several quantities of green growth. All variables are measured at the same unit using their respective local currency rates. The outcomes revealed that oil, gold, and silver prices influence the green growth of the E-7 economies. However, this negative impact validates the resource curse phenomenon for the sampled countries. Manifestly, fintech improves the conventional mode of the economic cycle in emerging countries and encourages green growth. The bidirectional causality is also observed between minerals, financial technology, and green growth. The study furnishes notable policies regarding mineral resource dependency as sustainable economic development is desirable for emerging nations.