This study examines the impact of green and digital investments on the investment inefficiency level of European firms. We define investment inefficiency as the deviation from the optimal investment level, which depends on both the net present value (NPV) of the projects and the marginal benefit...

There is limited research on the determinants of firms' green investment strategies in developing regions despite their importance to meet global climate change targets. Understanding how changes in firm climate investment affect environmental performance is essential for policy makers and firms...

This paper assesses the role of energy audits in promoting energy-efficiency measures in SMEs. It benefits from the data collected within the European Investment Bank Surveys in 2017 and 2018, involving information about energy audits and energy-efficiency investments of some 12,500 signatures...

This study uses unique firm-level data from EIBIS to identify EU firms' climate strategies and their associated factors. To do so, we initially run a clustering analysis that results in five distinct clusters in line with the literature and then investigate the role of various firms'...

Assessing climate change risks at the country levelThe EIB Climate Change Risk Country Scoring Model provides a way to comprehensively assess the climate change risks faced by more than 180 countries. The two sets of scores for physical and transition risks aggregate exposures to various risk...

Energy efficiency investments are essential for transitioning to a carbon-neutral economy. Nevertheless, despite being financially viable, many energy efficiency investment opportunities do not materialise. The existing literature attributes this situation to financial and non-financial factors....

In the recent years electricity tariff deficits emerged in Spain, Portugal, Greece and in some other Member States. Tariff deficits are shortfalls of revenues in the electricity system, which arise when the tariffs for the regulated components of the retail electricity price are set below the...

This paper investigates the impact of the EU Emissions Trading System (ETS) on the manufacturing sector, a significant contributor to greenhouse gas emissions within the EU. The ETS, a market-based policy tool, imposes a cap on emissions while enabling firms to trade emission allowances....

This study investigates how regional spillovers influence firms' climate investment decisions across EU regions using spatial econometric models. Using data from the European Investment Bank Investment Survey (EIBIS) 2023, we address two key questions: what triggers firms to adopt greener...

There is limited research on the determinants of firms’ green investment strategies in developing regions despite their importance to meet global climate change targets. Understanding how changes in firm climate investment affect environmental performance is essential for policy makers and...