How do analyst attention and green credit promote corporate green innovation?

Abstract

This study uses data from China's A-share listed companies spanning 2008–2022 to examine analyst attention on corporate green innovation through a fixed-effects model and investigates green credit on corporate green innovation using a difference-in-differences model. The results show that both analyst attention and green credit significantly promote corporate green innovation. Robustness tests strongly support these findings. Mediation analysis reveals that these effects are partially achieved by enhancing R&D intensity and the quality of information disclosure. Furthermore, heterogeneity analysis indicates that the effects vary under different conditions of market competition and financing constraints. Specifically, the positive impacts of analyst attention and green credit are more pronounced in environments characterized by higher market competition and lower financing constraints. This study highlights the synergistic role of capital markets and green policies in driving corporate green transitions, providing theoretical support and empirical evidence for optimizing related policies.