How sustainable finance turns climate policy into real emission cuts
Published on: Jan. 3, 2026, 5:49 p.m. | Source: Devdiscourse
The study finds that sustainable finance consistently outperforms other policy tools in reducing carbon intensity, particularly during periods of high emissions. Climate-aligned financial flows, including green credit, concessional funding, and sustainability-linked investment mechanisms, show a robust and statistically significant relationship with lower carbon intensity across all emission conditions.
