Abstract
Employing a structural equation modeling and focusing on the Republic of Djibouti, the article investigates the effect of financial sector development on green economy when it is mediated by both the level of economic freedom and green legislation. The findings unveil a threefold revelation: (1) a resilient financial sector positively steers the green economy, (2) an effect augmented by the dimensions of economic freedom, (3) while the involvement of Djiboutian green legislation in mediating remains minimal.
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