Green Finance and Corporate ESG Practices: A Dual-Driving Mechanism for Promoting Sustainable Development

Abstract

In the face of global challenges related to Environmental, Social, and Governance (ESG) issues and the pressure to meet Sustainable Development Goals (SDGs), green finance and corporate ESG practices have become dual-driving mechanisms for promoting sustainable development. Green finance directs capital toward environmental protection, energy conservation, and climate change mitigation, fostering the development of low-carbon economies and green technologies. Corporate ESG practices, focusing on social responsibility, low-carbon projects, and governance, contribute to this sustainable transition. This article explores the intrinsic relationship between green finance and corporate ESG practices, analyzing how they synergize and mutually reinforce each other to further promote corporate performance, social welfare, and sustainable development. Through a theoretical review, case studies, and data analysis, this paper provides new perspectives for policy research and development in the field.