Unlocking green growth: the role of Fintech development in promoting economic sustainability

Abstract

Despite the global problem of environmental degradation, and the regulatory initiatives being driven by international and governmental bodies to ensure that organizations adhere to sustainable development goals, there are still gaps that require further research. Therefore, this research aims to fill the gap in the economic sustainability literature by analyzing the association of Fintech development with economic sustainability through green finance, environmental benefits, and natural resource management, as well as sequential mediation analysis, conceptually integrated under the umbrella of the Natural-Resource-Based View (NRBV). The study identified companies that met the criteria for the phenomenon in all three countries: Romania, Mexico and Spain. Structural equation modelling (SEM) was used for data analysis. The results show that Fintech development is directly and significantly associated with economic sustainability and a strong association of green financing. In turn, green finance generates considerable environmental benefits, which contribute to sustainable economic performance, and natural resource management positively influences economic sustainability, confirming its essential role in the transition to sustainable economic models. The results of this study are valuable to government authorities and business executives who make decisions about promoting sustainability, and provides managerial recommendations on investments in Fintech technologies, green instruments, and responsible resource use practices.