The impact of geopolitical risks and financial development on renewable energy consumption in Vietnam

Authors

DOI:

10.46223/HCMCOUJS.econ.en.16.3.4377.2026

Keywords:

financial development; geopolitical risks; renewable energy consumption; sustainable development; Vietnam

JEL Classification:

C32; G20; O13; Q43

Abstract

At COP28 in R (2023), countries committed to scaling up renewable energy to curb CO2 emissions from fossil fuels (Grant et al, 2024). However, this transition faces significant challenges due to rising geopolitical risks that disrupt political stability 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 indicate that geopolitical risks and financial development individually reduce renewable energy demand; however, their interaction significantly enhances renewable energy consumption. Based on these findings, several policy implications are proposed to help policymakers develop effective strategies for promoting the adoption of renewable energy.

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References

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Issue 16(3)2026

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Received: 11-05-2025
Accepted: 28-07-2025
Published: 07-09-2025

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How to Cite

Nguyen, H. T., Nguyen, M. T., & Nguyen, T. T. M. (2025). The impact of geopolitical risks and financial development on renewable energy consumption in Vietnam. HO CHI MINH CITY OPEN UNIVERSITY JOURNAL OF SCIENCE - ECONOMICS AND BUSINESS ADMINISTRATION, 16(3), 116–138. https://doi.org/10.46223/HCMCOUJS.econ.en.16.3.4377.2026

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Copyright (c) 2025 Hong Thi Nguyen; My Tra Nguyen; Trang Thi Minh Nguyen

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