Research On The Impact Of Issuing Green Bonds On The "Dual" Performance Of Enterprises Under Dual Carbon Targets

Environmental protection has been a common topic of discussion since the beginning of the new century.In the context of the rapid development of human society,climate change and environmental anomalies have come along with it.China has always been concerned about the sustainable development of the global economy and society,and with the introduction of the "two mountains" concept and the rapid development of the green economy,General Secretary Xi Jinping also proposed China’s "Carbon peaking and Carbon neutrality" plan at the 15 th session of the United Nations General Assembly in 2020,namely the "Carbon peaking" target by 2030 and the "Carbon neutrality" target by 2060.Green bonds are part of the green financial system,which can create environmental benefits while providing financial support to enterprises,and have strict capital investment restrictions and information disclosure mechanisms,so they are an important channel to achieve the overall goal of "carbon peaking and carbon neutrality".BGE’s experience in issuing green bonds can provide some reference for other private enterprises to use green bonds as an effective new financing method.The "dual" performance is business performance and environmental performance.This paper takes the case of BGE’s green bond issuance as a case study,uses the event study method and case analysis method,combines the theory of Pecking Order Theory,Green Finance Theory and Reputation Theory,and combines the academic research results on green bonds and "dual" performance.We analyze the impact of issuing green bonds on the "dual" performance of enterprises by constructing the "dual" performance analysis system based on three aspects: short-term market response,business performance and environmental performance.In terms of business performance,the traditional capacity indicators are used,and the financial risks,such as debt maturity structure and financial leverage,are combined to reveal the intrinsic impact of green bond issuance on the business performance of enterprises.Finally,we use the event study method to show the market response to the issuance of green bonds.By studying the impact of issuing green bonds on the "dual" performance of the company,this paper finds that although the green bonds issued by BGE do not reflect lower financing costs,they meet the company’s short-term capital needs and optimize the maturity structure of the company’s debt,enabling the company to invest more in the construction of green projects,which brings good business performance and environmental performance.At the same time,the positive environmental benefits brought by the green projects into which the company issued green bonds have established the green image of the company and promoted the short-term growth of the company’s share price.At present,the domestic green bond market is still dominated by state-owned enterprises.BGE provides a reference for eligible private enterprises to use green bonds as a new financing tool,which is in line with the research trend of diversification of the green bond market and the spirit of the goal of "carbon peaking and carbon neutrality".