Research On The Impact Of China’s Green Bonds On The Green Transformation Of Iron And Steel Enterprises

Since the 18 th National Congress of the CPC,China has actively promoted the construction of ecological civilization,green development and innovation of financial ideas,and gradually promoted the development of green finance.As an important driving force of China’s industrialization process,besides promoting social and economic development,the problem of environmental pollution caused by the traditional business model of iron and steel enterprises is becoming more and more obvious,which leads them to have to pay attention to energy conservation and pollutant emission.Therefore,green transformation is the only way for the sustainable development of China’s iron and steel enterprises.Green bonds can play an important role in the green transformation of iron and steel enterprises.This paper draws lessons from some relevant studies of domestic and foreign scholars,and based on some theoretical basis,such as sustainable development theory and financing constraint theory,analyzes the current situation of green transformation of China’s iron and steel enterprises and the impact of green bond financing on green transformation of iron and steel enterprises.Through the analysis,it is concluded that there are the following difficulties in the green transformation of China’s iron and steel enterprises: the proportion of crude steel output of short process electric furnace is low,the research and development of intensive iron and steel environmental protection process is insufficient,and some iron and steel enterprises have not yet adapted to the new normal of environmental protection.However,green bonds have advantages in issuing costs.The low coupon rate of green bonds issued by iron and steel enterprises can reduce the debt burden of enterprises and provide financial support for iron and steel enterprises.At the same time,green bonds can promote the internalization of environmental externalities of iron and steel enterprises.Therefore,green bonds promote the green transformation of iron and steel enterprises from two aspects of incentive and restraint.The empirical part of this paper takes the enterprise as the research object,based on the panel data of Listed Companies in the iron and steel industry,selects the total factor productivity index to reflect the green transformation and upgrading of iron and steel enterprises,and establishes a model for regression.The empirical results show that the total factor productivity of iron and steel enterprises has been improved through the issuance of green bonds,which shows that the issuance of green bonds can effectively promote their green transformation.At the end of the article,several reasonable suggestions are put forward from the perspectives of issuers and government regulators,so as to make a reference for green bonds to more effectively promote the green transformation of iron and steel enterprises.