The role of financial inclusion, technology innovation, energy and environmental degradation in determining sustainable growth in Asia

Abstract

AbstractSustainable growth is a top priority for all economies as they work towards creating a prosperous and resilient future for current and future generations. This study empirically explores the important role of financial inclusion (FI), energy consumption, technological (TECH) innovation and environmental degradation in the economic growth of 13 selected developing Asian countries from 2000 to 2021. The feasible generalized least squares method is used for empirical examinations due to the nature of the data. The study focuses on three dimensions of FI: penetration, usage and availability of financial institutions. The results show that FI, energy consumption and TECH innovation encourage economic growth, whereas ecological footprint discourages economic growth in selected Asian countries. The empirical findings highlight the importance of promoting sustainable growth in Asia through enhanced FI, TECH innovation, sustainable energy practices and environmental conservation. Governments in these countries should prioritize strengthening the financial sector, investing in research and development and implementing effective policies to ensure a clean and green environment. This will lead to inclusive and environmentally responsible development that benefits both current and future generations in the region.