Financial expenditure, financial friction, and coal consumption for energy efficient environment: Role of financial inclusion

Abstract

This research investigates the crucial role that adaptability and ongoing evaluation have in implementing sustainable energy and economic development strategies in China. It emphasises the need for collaboration between enterprises, governmental organisations, and academic institutions in order to achieve these goals. The study also discusses how financial inclusion impacts economic growth and stability and how energy-intensive companies might use the Logarithmic Mean Divisia Index (LMDI) approach to evaluate energy decomposition. The findings indicate that different provinces in China’s high energy-intensive (EI) economic sectors have different degrees of energy efficiency, with certain regions possibly having inefficiencies. The research underscores the need for targeted strategies to address these inefficiencies and disseminate efficacious approaches in new settings. The research also offers useful data that may be used to promote sustainable energy consumption and economic growth, with implications for policy-making and strategic initiatives. In summary, this paper presents specific policy recommendations and highlights the need for ongoing evaluation and collaboration to support China’s sustainable energy initiatives and economic growth.