Research On The Impact Of Green-credit Policy On Debt Financing Of Heavy Polluting Enterprises In China

With the development of green finance,green credit has played an increasingly important role in environmental protection,industrial structure upgrading,green development and other aspects.The green-credit policy aims to play two roles: firstly,guiding credit funds to invest in green industries and supporting the development of green industries.The second is to curb the flow of credit funds to heavily polluting industries,forcing heavily polluting enterprises to undergo innovation and transformation.According to statistics from the People’s Bank of China,as of the end of 2022,the balance of domestic and foreign currency green loans in China had reached 22.03 trillion yuan,an increase of 38.55% compared to the end of 2021,and the balance of green loans had reached its highest level in history.In recent years,the overall development of green credit in China has been good.However,the balance of green credit can only visually display the policy’s loan support for green industries,but cannot reflect whether the green-credit policy has truly played a restraining role in the credit financing of heavily polluting enterprises.In theory,after the implementation of policies,it becomes more difficult for heavily polluting enterprises to obtain loans,increase costs,and find it difficult to obtain long-term debt support.However,China’s green credit started relatively late and is still in the exploratory stage.Therefore,there are still some factors that may affect the effectiveness of green-credit policy in the implementation process.Firstly,commercial banks are essentially enterprises that pursue profitability,so they may not strictly follow policy requirements and restrict loans to heavily polluting enterprises when conducting credit business.Secondly,there is information asymmetry between commercial banks and enterprises,which may result in heavily polluting enterprises still being able to obtain a large amount of loans.Third,heavy polluting enterprises want to obtain debt Financing,in addition to bank channels,they can also obtain funds through commercial credit and other non bank channels.Therefore,it is necessary to further judge the punitive effect of green-credit policy on debt Financing of heavily polluting enterprises.To solve this problem,thesis first extensively collected and sorted out the relevant literature and theories,and then put forward the hypothesis about the impact of green-credit policy on enterprises’ debt Financing on the basis of theoretical analysis.In order to test whether these assumptions are valid,thesis selects the data of listed companies in China’s A-share market from 2009 to 2021 as a sample,and selects the year of issuance of China’s "Green Credit Guidelines"-2012 as the time of policy occurrence.A regression analysis is conducted using a dual difference method.In addition,a heterogeneity analysis is conducted from four aspects: enterprise property rights,size,and region,as well as whether the enterprise discloses environmental information.The empirical result is that the green-credit policy will have a restraining effect on the debt financing of all heavily polluting enterprises to a certain extent.This policy can not only reduce the scale of debt financing for enterprises,but also make them pay a higher cost in terms of costs.It can also reduce the proportion of long-term debt to total debt,that is,the debt maturity structure of enterprises decreases.However,in terms of heterogeneity analysis,policy effects vary.The green-credit policy did not exert a restraining effect on the debt maturity structure of non-state,small,and eastern heavily polluting enterprises,nor did it exert a restraining effect on the debt financing scale of non-state heavily polluting enterprises.Based on this,thesis proposes relevant suggestions from the government,financial institutions,and enterprise levels to make the policy more effective.Thesis has a certain degree of significance for both theoretical research and practical application.From the theoretical aspect,thesis content of this paper is mainly about the implementation effect of green credit policy,and also involves the analysis of the influencing factors of enterprise debt Financing,so thesis enriches the research in these two aspects.From a practical perspective,thesis can provide relevant government departments,financial institutions,and enterprises with a better understanding of the impact mechanism and effect of green-credit policies on debt financing of heavily polluting enterprises,thereby providing reference for the development of green credit by governments and financial institutions,and the transformation and development of enterprises themselves.