- Research Article
- 10.46223/hcmcoujs.econ.en.16.3.4377.2026
The impact of geopolitical risks and financial development on renewable energy consumption in Vietnam
- Sep 07, 2025
- Ho Chi Minh City Open University Journal of Science- Economics and Business Administration
- Thi Hong Nguyen + 2 more +2
In light of the urgent challenge of global warming exacerbated by greenhouse gas emissions, countries at the COP28 Conference in Dubai in 2023 committed to increasing the production and consumption of renewable energy as a crucial strategy to reduce CO2 emissions from fossil fuel reliance within the global energy system. However, numerous nations face obstacles in their efforts to promote renewable energy consumption, primarily due to heightened geopolitical risks that result in significant instability in political security and socio-economic conditions. This study examines the impact of geopolitical risks and financial development on renewable energy in the context of Viet Nam from 1995 to 2024. Results from the ARDL model reveal that geopolitical risks and financial development individually reduce renewable energy demand, but their interaction significantly enhances renewable energy consumption. Based on these findings, several policy implications are proposed to assist policymakers in formulating strategies to promote renewable energy consumption effectively. Keywords: financial development; geopolitical risks; renewable energy consumption; Viet Nam
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