Research On The Impact Of Green Bond Issuance In The Same Industry On The Financing Cost Of Non Green Bonds

With the vigorous development of the bond market,more and more enterprises in China are using bond financing to raise funds,and the coupon rate of bonds reflects the financing cost of enterprises.However,the problem of adverse selection caused by information asymmetry makes it difficult and expensive for enterprises to finance.At the same time,green bonds have become a highly anticipated new financial tool in the bond market.Funds raised by green bond issuers invest in green projects,and green bonds promote the development of China’s green economy and promote green transformation.Green bonds are given more environmental significance,and public information disclosure has solved the problem of information asymmetry for the green bond issuance industry.This article explores the spillover effects of green bond issuance in the industry,providing a reference basis for green bonds to help enterprises achieve green transformation and alleviate environmental pressure.This article selects credit bond varieties such as corporate bonds,short-term financing bills,medium-term notes,and corporate bonds publicly issued in China’s interbank and exchange markets from 2003 to 2021,as well as green bond varieties from 2015 to 2021,as research samples to explore whether green bond issuance has an impact on the financing costs of non green bonds for other enterprises in the industry,We analyzed three possible impact channels-spillover effects based on green bond information disclosure,peer group effects,and signaling effects.We also explored the regulatory role of environmental regulations between the two,and further analyzed the heterogeneous impact of green bond issuance in the same industry under different operating income and industry competitiveness.The innovation of this article lies in: firstly,there is a lack of research on the benefits of green bonds in the same industry in existing literature,and this study has made certain attempts in this field;Secondly,three channels of action within the green bond issuance industry were proposed and the existence of investment ability and debt paying ability effects was verified;Thirdly,starting from the interaction of different environmental pressures,the differences in the impact of green bond issuance in the same industry on the financing costs of non green bonds for enterprises were explored.This article draws the following conclusions: firstly,the issuance of green bonds in the same industry will significantly reduce the financing costs of non green bonds for other enterprises in the industry;Secondly,enterprises in the green bond issuance industry will be affected by spillover effects,which are specifically manifested as investment ability effects and debt repayment ability effects;Thirdly,environmental regulations have strengthened the role of green bond issuance in the same industry in reducing the financing costs of non green bonds for enterprises;Fourthly,the effect of green bond issuance in the same industry on reducing the financing costs of non green bonds is more evident in samples with high operating income,while the effect of green bond issuance in the same industry on reducing the financing costs of non green bonds is more evident in samples with more intense competition.This article also puts forward suggestions from the perspectives of the government and enterprises.For the government,it is necessary to actively establish and improve the mechanism for public information disclosure of green bonds,and promote the resolution of information asymmetry issues in the market;At the same time,grasp the coordination role of various environmental policies and promote green transformation in multiple ways;Actively creating a favorable environment for fund transfer and promoting the compatible development of enterprises with different profit situations;In addition,supervise monopolies and ensure that competition mechanisms play a role in the market.For enterprises,they should consciously fulfill their obligation to disclose public information and actively respond to the environmental requirements of stakeholders.