How green bonds promote firms' green collaborative innovation?

Abstract As one of the most critical green financial tools, green bonds play an essential role in supporting the green collaborative innovation of enterprises. Using the data of China's nonfinancial listed companies from 2010 to 2020, the article examines the impact of green bonds on firms' green collaborative innovation. The results show that issuing green bonds can significantly promote the quantity and quality of firms' green collaborative innovation. The mechanism research shows that green bonds can improve the green independent innovation of enterprises, relieve their financing constraints, and enhance corporate reputation, thus promoting the green collaborative innovation of enterprises. Further research reveals that when enterprises obtain external reviews or repeatedly issue green bonds, their green collaborative innovation improves more significantly. This article indicates that China's green bond market has played a positive role in achieving environmental goals from the perspective of green collaborative innovation.