Evaluating the Factors of Green Finance to Achieve Carbon Peak and Carbon Neutrality Targets in China: A Delphi and Fuzzy AHP Approach

Abstract

Green finance (GF) is a vital strategy implemented by China to minimize carbon emissions to achieve targets of carbon peak and carbon neutrality. Thus, the objective of this study is to reduce carbon emissions by developing green finance practices in China. This study identifies, evaluates, and ranks the factors and sub-factors of green finance because it is the core issue for sustainable development. In this regard, this study utilizes the Delphi and fuzzy Analytical Hierarchy Process (FAHP) method to analyze the main factors and sub-factors of green finance. The Delphi method finalizes the 6 factors and 26 sub-factors after a thorough investigation. The FAHP method was used to assess and rank the identified factors and sub-factors of green finance. The findings show that the political (POF) is the most crucial factor of green finance in the Chinese economy. The economic (ECF) and environmental (ENF) factors are ranked second and third important factors. The further results of the FAHP reveal that ecological and political identification (POF1), political stability (POF3), and climate commitments (POF2) are the top-ranked sub-factors of green finance. The results specify that green finance development is a very crucial strategy to minimize carbon emissions.