16 February 2024 | Dejun Zhou, Maxwell Kongkuah, Angelina Kissiwa Twum, Ibrahim Adam
The study examines the impact of international trade and foreign direct investment (FDI) on the ecological footprint in Belt and Road Initiative (BRI) countries, considering the mediating role of environmental performance. Using the CCEMG estimator, the research finds that imports, exports, and FDI have a positive relationship with the ecological footprint, while environmental performance has a negative association. The findings support the pollution haven theory, highlighting the importance of environmental regulations in attracting responsible investors. The study emphasizes the need for sustainable development and the incorporation of environmental regulations within the BRI's goals to mitigate adverse environmental impacts. The research provides valuable insights for policymakers, researchers, and stakeholders to promote sustainable trade and investment practices.The study examines the impact of international trade and foreign direct investment (FDI) on the ecological footprint in Belt and Road Initiative (BRI) countries, considering the mediating role of environmental performance. Using the CCEMG estimator, the research finds that imports, exports, and FDI have a positive relationship with the ecological footprint, while environmental performance has a negative association. The findings support the pollution haven theory, highlighting the importance of environmental regulations in attracting responsible investors. The study emphasizes the need for sustainable development and the incorporation of environmental regulations within the BRI's goals to mitigate adverse environmental impacts. The research provides valuable insights for policymakers, researchers, and stakeholders to promote sustainable trade and investment practices.