The main objective of the current study is to examine the impact of institutional performance, digital governance, and green finance on environmental performance within expanded BRICS nations that have undergone expansion. Key findings indicate that enhancing digital governance significantly reduces emissions; therefore, policies should be implemented to fortify digital infrastructure and promote environmentally responsible practices. The study utilized three discrete regression models to analyse the ecological impact and emissions of carbon dioxide and nitrous oxide, providing insights into the primary greenhouse gases contributing to global climate change. In light of the intricate correlation between emissions and institutional performance, it is imperative to develop nuanced policies that effectively reconcile the need to strengthen institutions with environmental concerns. Green financing is a crucial element that advocates for policies that encourage investment in environmentally friendly initiatives and technology and has a net positive impact on emissions reduction. The adoption of sustainable practices is imperative for economic expansion due to the observed correlation between heightened emissions and economic capacity. To decouple environmental degradation from economic expansion, policies should be implemented to support green technologies. In summary, these results provide evidence in favour of a comprehensive policy approach within the BRICS countries, which ought to achieve a harmonious coexistence of environmental conservation and economic advancement, to the advantage of all stakeholders. The current study is carried out to promote environmental sustainability, reduce harmful activities, strengthen institutions for collaborative pollution management, and enforce stringent environmental regulations on foreign direct investment, the expanded BRICS nations should strive to reduce detrimental activities. Placing significant emphasis on the interdependent nature of economic development and its environmental ramifications is of utmost importance.
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