Research On The Financial Effect Of Donghua Energy’s Green Bond Financing

In order to build a world community with a shared future,practice Chinese five development concepts,and adhere to sustainable economic development,the government,enterprises,and financial institutions have carried out multi-party cooperation and joint research and practice to explore a green development path.From the perspective of enterprises,participating in the development of the green economy should bear social responsibility,and should also change the business model and optimize the concept of corporate financing development.Therefore,the new financing method of green bonds has been favored by many enterprises.Petrochemical industry has the characteristics of large capital demand,diversified financing channels and so on,Donghua Energy,as the first domestic petrochemical industry to issue green bonds enterprises,has contributed a great contribution to Chinese green development and has the representative of large enterprises,in line with the basic conditions of green bond financing financial effect research object.Based on the experience of the theoretical research and practical exploration of enterprise green bonds at home and abroad,this paper analyzes the current situation and dynamics of Donghua Energy Green Bonds,and analyzes the financial effects of Donghua Energy Green Bond Financing from the aspects of financing cost,financing performance and market reaction,and then puts forward the strategy of improving the financial effect of Donghua Energy Green Bond financing.The main conclusions are:(1)the traditional financing instruments have high capital costs,complicated approval and other objective constraints,while the green project technology is complex,the investment cycle is long,the traditional financing tools are difficult to meet its huge financing needs.Green bonds as innovative bonds make up for this defect,making it not only an expansion of enterprise financing forms,but also play an important role in the future development of Chinese green economy and low-carbon economy;Although donghua energy green bond issuance method is simple,but Donghua energy only fully understand and use the green bond policy and market mode of operation,can enterprises effectively issue green bonds to obtain more benefits.(3)Donghua Energy Green Bond Financing has no effect on operating income and operating costs,but it can significantly positively affect operating net profit and total asset return,significantly enhance the company’s solvency,and have a positive impact on the share price of the capital market;(4)Donghua Energy shall enhance the financial effect of corporate green bonds through rational planning and financing projects,continuous improvement of the financial environment,prudent development of green bonds,etc.