Green Finance and Regional Technological Innovation in China: The Mediating Role of R&D Investment

Against the backdrop of global efforts to achieve sustainability and low-carbon development, this study examines the impact of green finance on regional technological innovation in China, with a particular focus on the mediating role of R&D investment. Using panel data from 30 Chinese provinces spanning 2008 to 2021, we employ fixed-effects and mediation models to analyze the relationships. The findings reveal a significant positive correlation between green finance and regional technological innovation, with R&D investment serving as a partial mediator in this relationship. Additionally, regional innovation and entrepreneurship capabilities strengthen the influence of green finance on R&D investment. However, in regions with higher innovation and entrepreneurship capacities, the marginal effect of R&D investment diminishes. Based on these results, the study proposes targeted policy recommendations, including enhancing green finance policies, improving financial institution services, promoting enterprise-led R&D activities, and fostering regional collaboration to achieve balanced innovation development. These insights provide both theoretical and practical implications for leveraging green finance to advance sustainable innovation.