Role of Green Finance in Supporting Sustainable Energy Investments Perspective of Energy Sector in Jordan

Abstract

The current study aimed at examining the role of green financing in supporting sustainable energy investments from perspective of energy sector in Jordan. Areas of green financing were adopted from Arab Monetary Fund report (2022) which included (Renewable Energy,Green Buildings,Sustainable Transport, Waste Management and Sustainable agriculture). Quantitative methodology was adopted and a questionnaire was distributed on a sample of (147) respondents from (190) organizations from energy sector in Jordan. Results of study indicated that acceptance of the main hypothesis arguing that green financing has the ability to support sustainable energy investments within energy sector in Jordan with a variance of 78% and an R = 0.883 which was statistically accepted. Considering the adopted variables, it was noticed that all variable had a role in supporting sustainable energy investment and the highest impact was scored by sustainable agriculture which was manifested by a variance of 71.2% and a R =0.844. Study recommended initiating an affiliation "partnership" between banking sector and energy sector in Jordan in order to enhance and support sustainable energy investment in a more profound way. Further recommendations were presented in the study.