Bridging ESG and FinTech: a technological approach to carbon performance

Acheampong, A ORCID: https://orcid.org/0000-0002-9489-5751, Mousavi, M, Ibeji, N and Owusu, F, 2025. Bridging ESG and FinTech: a technological approach to carbon performance. Business Strategy and the Environment. ISSN 0964-4733

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Abstract

We examine the association between ESG disclosure, FinTech adoption, and carbon performance in firms operating in energy-intensive industries within BRICS countries. Drawing on multiple theoretical frameworks, our empirical models employ firm fixed-effects estimators to analyze an unbalanced panel dataset comprising 2,226 firm-year observations spanning 14 years. Our findings are three-fold. First, our primary evidence reveals that both ESG disclosure and FinTech adoption have a statistically significant positive relationship with carbon performance. Second, we provide robust evidence that FinTech enhances the effectiveness of ESG disclosure by improving transparency, reducing information asymmetry, and facilitating access to green financial resources. Third, we find that carbon tax policies moderate these relationships, with firms in high-regulation environments experiencing stronger positive effects. Overall, our results suggest that FinTech acts as an enabler, amplifying the impact of ESG practices on corporate carbon performance. Our findings are robust to various control mechanisms, alternative measures, and potential endogeneities. These results have implications for policymakers and corporate decision-makers seeking to integrate FinTech into ESG frameworks, as well as for advancing country-specific and regional approaches to climate change mitigation.

Item Type:	Journal article
Publication Title:	Business Strategy and the Environment
Creators:	Acheampong, A., Mousavi, M., Ibeji, N. and Owusu, F.
Publisher:	Wiley
Date:	12 August 2025
ISSN:	0964-4733
Identifiers:	Number Type 10.1002/bse.70122 DOI 2486943 Other
Rights:	This is the peer reviewed version of the following article: Acheampong, A., Mousavi, M., Ibeji, N., & Owusu, F. (2025). Bridging ESG and FinTech: a technological approach to carbon performance. Business Strategy and the Environment, which has been published in final form at https://doi.org/10.1002/bse.70122 This article may be used for non-commercial purposes in accordance with Wiley Terms and Conditions for Use of Self-Archived Versions. This article may not be enhanced, enriched or otherwise transformed into a derivative work, without express permission from Wiley or by statutory rights under applicable legislation. Copyright notices must not be removed, obscured or modified. The article must be linked to Wiley’s version of record on Wiley Online Library and any embedding, framing or otherwise making available the article or pages thereof by third parties from platforms, services and websites other than Wiley Online Library must be prohibited.
Divisions:	Schools > Nottingham Business School
Record created by:	Laura Borcherds
Date Added:	14 Nov 2025 15:45
Last Modified:	14 Nov 2025 15:45
URI:	https://irep.ntu.ac.uk/id/eprint/54742

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