Research On The Interrelationship Among Green Certification,Credit Rating And Financing Cost Of Bond

On the road of pursuing green development,the problem of insufficient environmental service supply and increasing financial risks caused by the mismatch between funds and environmental management goals is particularly apparent.Shouldering the mission of giving play to the functions of financial market resource allocation and serving environmental management and governance,green bond,as an important component of the green financial system,has emerged and developed.The significant point of green bond is to raise funds to invest in green industry projects.The method of identifying and judging the greenness of green bond is not only an investors' demand,but also the pursuit of the issuers.This paper focuses on green bond evaluation and certification and the financial impact of green bond certification.Firstly,this paper sorts out the existing approaches of identifying and judging the greenness of green bond,and considers that green bond evaluation and certification is one approach more powerful than information disclosure of the issuers and green bond index,with the consideration of domestic institutional practices,studies and explains the system and the progress of green bond evaluation and certification,thinking about issues of process-result interactions and market mrivers towards the future development direction,based on which,discusses the possible effect of green bond assessment certification on financing cost,trying to show the key issue studied in this paper,impact mechanism of bond green certification on financing cost." Secondly,based on the information asymmetry theory and signal transmission theory,this paper makes a theoretical analysis of the impact of bond green certification on financing cost and the mediating role of credit rating in this mechanism,and makes a qualitative analysis of the moderating role of the regional green development level in this mechanism combined with the research foundation.Thirdly,through the sample of green corporate bonds,green enterprise bonds,green financial bonds and green debt financing instruments issued in China in 2016-2019,using mixed cross-section data,taking the green certification of bonds as the independent variable,the financing cost of the bond as the dependent variable,bond credit rating as mediator variable,and the regional green development level as moderator variable,selects the control variables considering the characteristics of issuers,bonds and macro environment,this paper establishes multivariate linear regression models to empirically test the impact of bond green certification on financing cost,the mediating role of credit rating in this mechanism and the moderating role of regional green development level in this mechanism,and further test whether the impact of bond green certification on financing cost will be affected by the nature of the property-rights of the issuer,the type of bond,the maturity of bond,the scale of bond and the year of bond issuance.Finally,based on the above studies,this paper summarizes the research conclusions and makes recommendations.The studies make conclusions.Bond green certification can significantly reduce bond financing costs.Bond green certification could reduce financing costs.Bonds that have obtained green certification have an average financing cost that is 43.2bp lower than bonds that do not have green certification.Credit rating plays an mediating role in the mechanism above.The green certification of bonds could reduce bond financing cost through improving bond credit rating.At the same time,this mediating effect accounts for about 20.37%,which is part of the overall mediating effect,which means credit rating is not the only transmission channel.The regional green development level has a moderating effect on the impact of bond green certification on financing cost;the impact of bond green certification on financing cost shows significant differences due to the nature of the property-rights of the issuer,the type of bond,and the scale of bond,and the impact has been increasing year by year in 2016-2019.Based on the research on green bond evaluation and certification and its financial impact,this paper puts forward policy recommendations.Strengthen the status of green bond certification and improve the level of green bond evaluation and certification by means of management systems and institutional cultivation,which chould help investors make more reasonable and efficient investment decisions,help issuers obtain benefits and convenience of financing and make use of the green financial system to achieve a win-win situation in the efficient allocation of financial market resources and environmental management goals.Credit rating institution,investors and issuers should integrate green certification and credit rating of bond.Regions with lower green development level should vigorously promote the development of the green bond market and green bond assessment and certification,facilitate the financing of green industry projects in the region,and usher in a new situation in which the role of bond green certification finance and regional green development are mutually reinforcing.Management requirements for information disclosure of green corporate bonds,green enterprise bonds and green debt financing instruments could be promoted.Development and growth of the green bond market could be promoted from the perspectives of supply and demand.