Author: S.Shan et al. (Elsevier)
Abstract: This paper explores how lending to blue and sustainable firms, alongside digitalization, affects banking performance in the EU. Analyzing data from banks in 27 member states over 11 years, the study finds that increased financing to sustainable firms and digital investments boost banks’ net interest margins and reduce solvency risk. The results highlight how supporting sustainable ventures and advancing digitalization can strengthen banking performance while promoting sustainable development and the blue economy.
Source: https://www.sciencedirect.com/science/article/abs/pii/S0040162523004572