New insight into China’s use of state-backed funds for a green transition

China is simultaneously enacting a state-led financialization of governance and a prioritization of environmental objectives. Resultingly, dedicated state-backed green funds have grown in scale. Drawing on interviews, policies, and financial databases, we examine these funds through policy document analysis, descriptive statistics, and three case studies. Tying together the literature on “financialization” and the “green state” we show how China's “market-driven, government-guided” type of state-led financialization enhances the country's green state investment capacity. We introduce the concept of a “green investor state” to capture China's approach. LINK