Is sub-sahara Africa using climate finance to abate greenhouse gas emission
DOI:
https://doi.org/10.34140/bjbv8n2-087Palavras-chave:
carbon emission, greenhouse gas emission, panel regressionResumo
The UN estimates that per capita emission need to reduce to between 2.1 to 2.6 tonnes CO2e by all countries to reduce global warming to below 2oc. Therefore, the main purpose of this study is to find the impact of climate finance on GHG emission among 19 Sub-Sahara Africa countries for the period 2006 to 2014. This study employs system GMM robust standard errors and triangulates the result by using DOLS and FMOLS for robustness check. The findings show that climate finance is not reducing nitrous oxide, methane and total greenhouse gas emissions into the atmosphere, whereas carbon abatement is occurring. System GMM results affirmed the existence of EKC and pollution haven hypothesis. Existence of pollution haven hypothesis shows that more hazardous and dirty investments are moving from developed countries to developing countries with less strict environmental rules. Therefore, we recommend African countries to sieve the type of investment that comes in and channel some climate finance to proper management of waste and landfill sites.
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