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Abstract

The pursuit of environmental sustainability within the G-20 economies—which collectively represent the majority of global economic activity and greenhouse gas (GHG) emissions—remains one of the most critical research priorities and global policy challenges. Despite ambitious commitments to the Paris Climate Agreement, the United Nations 2030 Agenda for Sustainable Development, and theG-20 Sustainable Finance Roadmap, the member states continue to grapple with several persistent and emerging sustainability concerns. These issues are multidimensional, spanning carbon emissions, energy dependency, and ecological imbalance. To address these challenges, the study investigates the role of financial development, green innovation, energy consumption, and their Synergy in achieving environmental sustainability in G- 20 economies. The objectives are therefore designed to systematically explore the underlying economic and structural drivers of environmental sustainability in these economies. By examining these factors individually and in synergy, the study aims to uncover interactive mechanisms that are often overlooked in the existing literature. The study found that financial development alone exhibits insignificant asymmetric effects with environmental sustainability indicators (CO2 emissions and ecological footprint). However, the synergy between financial development and green innovation yields asymmetric and positive effects on environmental sustainability in G-20 economies.