Analysis Of The Economic Effectiveness Of Green Bonds Issued By State-owned Enterprises

Since the introduction of China’s 1st green bond in 2015,it has flourished under the support of policies,with the scale and number of green bonds issued by state-owned enterprises(SOEs)accounting for about 90%of the total each year.This paper based on functional characteristics of green bond,combined with MM theory,pecking order theory,trade-off theory,and economic efficiency theory,dissects the internal and external factors affecting the economic efficiency of SOEs,explores the mechanism of the role of green bonds on the economic efficiency of SOEs,and puts forward relevant hypotheses.This paper takes a sample of SOEs that issued green bonds from 2014 to 2020,uses generalized least squares(GLS)to empirically tests the research hypotheses by constructing a panel data model,adopts a replacement variable and regression model for robustness testing.The three mediating variables of corporate profitability,operational capacity and debt servicing capacity are introduced,and the transmission mechanism is analyzed by using the sequential test method,the following conclusions are drawn:1)there is a significant correlation between the cumulative size of green bonds issued by SOEs and the return on equity of SOEs,but different levels of SOEs are affected differently.2)There is a remarkable positive relationship between the issuance scale of green bonds and the net profit of SOEs,the larger the amount of green bonds issued by enterprises,the more net profit they obtain.3)The corporate profitability of SOEs acts as a mediating effect between the issuance of green bonds and the economic effectiveness of SOEs,but the operational capacity and debt-servicing ability acts as a masking effect.The issuance of green bonds not only has the social benefits of environmental protection,but also affects the economic benefits of enterprises.Overall,green bonds on the economic benefits of SOEs have a positive effect.The government should support and encourage green bond issuance,further improving the evaluation system of green projects,prompting green bonds to improve the value of more space of SOEs.In addition,SOEs with strong profitability should actively promote green transformation and obtain more green bonds;those enterprises issuing green bonds should pay attention to the negative impact on operating capacity,formulate prevention and make measures to accelerate asset turnover and avoid operational risks;those with high debt ratio should adjust their capital structure to prevent blind borrowing and avoid reducing economic benefits.