From Green Finance to Green Performance: The Mediating Role of FinTech Adoption in Pakistan

Authors

  • Sumera Mehmood PhD Scholar and Lecturer of Finance, Iqra University, Karachi, Pakistan
  • Asghar Kamal Assistant Professor, Department of Business Administration, Sarhad University, Peshawar.
  • Dr. Ammar Ahmed Siddiqui Associate Professor, Iqra University, Karachi, Pakistan

Abstract

This research aims to explore the relationship between green finance, green innovation, FinTech usage, and their effects on sustainable performance. The study employs structural equation modeling to analyze the direct mediated paths with 280 participants. The results reveal that green finance has a significant positive relationship with sustainable performance (β = 0.45, p < 0.001) and green innovation also has a significant positive relationship with sustainable performance (β = 0.39, p < 0.001). Moreover, FinTech plays the role of a moderator, with moderation influence of 48% and 45% in the green finance and green innovation pathways. The study also confirms the reliability of the constructs through high composite reliability, discriminant validity and acceptable model fit indices. The results obtained here, confirm previous studies, stressing the relevance of all the financial, technology, and innovation supports to meet the goals of sustainability. Therefore, the paper provides policy recommendations to the policymakers and organizations in the emerging economies to integrate green financial system with the appropriate incentive structure for mobilizing innovation and leveraging Fintech to solve sustainability challenges.

Keywords: Green Finance, Green Innovation, FinTech Adoption, Sustainable Performance, Financial Technology, Environmental Sustainability, Structural Equation Modeling, Emerging Economies, Mediating Effects, Green Banking Practices

Published

2025-01-04

How to Cite

Sumera Mehmood, Asghar Kamal, & Dr. Ammar Ahmed Siddiqui. (2025). From Green Finance to Green Performance: The Mediating Role of FinTech Adoption in Pakistan. Bulletin of Management Review, 2(2). Retrieved from https://bulletinofmanagement.com/index.php/Journal/article/view/84