An empirical analysis of financial markets and instruments influencing the low-carbon electricity production transition

This study focuses on Brazil, Russia, India, China and South Africa (BRICS countries), which contribute over 40% of global CO2 emissions. Using panel co-integration tests, fully modified OLS seemingly unrelated regressions, the contributes to literature by revealing that public debt securities foster transition from fossil fuel electricity towards low-carbon electricity, whereas private credit is mostly profitless for production transition. The explanation environmental pressure urges capital play a vital role in transition, while bank loans are reluctant leave considerable returns. installed capacity stations drives association between financial production. Financial markets more significant than other countries. Low-carbon requires transformation all these