An Empirical Study On The Influence Of Green Credit Policy On Liquidity Creation Of Commercial Banks

As the contradiction between economic growth and environmental protection becomes more and more prominent,"green" development has become the main tone of current and future development,and the use of financial means to promote green development has also received widespread attention.According to the modern financial intermediation theory,commercial banks play a key role in the market economy and provide liquidity for the development of the real economy.Since the18 th National Congress of the CPC,guided by the concept of economic transition and upgrading and green development,commercial banks have paid more and more attention to assume social responsibilities,especially for environmental protection.Green credit policies have brought opportunities for commercial banks and provided a foundation for liquidity creation.Meanwhile,the rapid growth of green credit is also a strong support for the green transformation of the real economy.Therefore,it is of great significance to analyze the effect of green credit policy on the liquidity creation of commercial banks.Based on the above background,this paper reviews the existing literature on green credit policy and liquidity creation of commercial banks,introduces the development status of green credit policy and the theoretical basis of liquidity creation.Then,the paper makes a theoretical analysis of the influencing mechanism of green credit policies on the liquidity creation of commercial banks and puts forward the research hypothesis.The panel data of 113 commercial banks from 2010 to 2021 are selected to construct the liquidity creation index of commercial banks,and the empirical analysis is carried out by using propensity score matching and differential analysis method.The conclusions show that green credit policy can significantly promote the liquidity creation of commercial banks.From the perspective of mechanism,reducing risk and enhancing reputation effect are effective channels for green credit policies to promote liquidity creation.From the perspective of bank types,green credit policy has the most significant positive impact on the liquidity creation of urban commercial banks and rural commercial banks.From the perspective of bank scale,green credit policy plays an important positive role in liquidity creation of banks with larger assets.At last,on the basis of the above conclusions,this paper puts forward policy suggestions from the perspectives of regulatory authorities and commercial banks,which provides certain enlightenment for the improvement of green credit policies and the enhancement of liquidity creation of commercial banks.