Abstract:
The issue of promoting green industrial productivity has emerged as a pivotal concern in economic development,
attracting substantial attention from scholars and policy makers alike. This study aims to scrutinize the impact of
green finance on Africa’s industrialisation, and further explore the potential moderating role of green innovation
within the relationship between green finance and industrialisation in the African context, i.e., assessing the
extent to which green innovation can influence the effect that green finance has on industrialisation. This study
encompasses 41 African nations, spanning the period from 2000 to 2020. The research methodology employs the
fixed effect model as proposed by Driscoll and Kraay (1998), in conjunction with the system Generalized Method
of Moments (GMM) regression analysis. The results show that green finance enhances industrialization in Africa,
while green innovations through renewable energy have a negative effect. Policy recommendations are
discussed.
