The role of green investments by industrial companies in enhancing added value An analytical study of a sample of industrial companies listed on the Iraq Stock Exchange

Abstract

This study aims to determine the impact of green investment, as an

independent variable, on value-added indicators, as a dependent variable. The study used the ESG

(Environmental, Social, and Governance) index to measure green investment, employing a set of

indicators: the Environmental Index (E), the Social Index (S), and the Governance Index (G).

Value-added was measured using three indicators: market value added, monetary value added, and

return on investment in cash flow. A set of hypotheses was formulated, and a set of research

questions was developed. To achieve the study's objectives, the hypotheses were tested on a sample

of industrial companies listed on the Iraq Stock Exchange, using data from the official Iraq Stock

Exchange website for the period 2015-2024. The sample consisted of ten industrial companies. The

data were analyzed using a range of financial equations and statistical methods (multiple

regression, t-test, F-test), as well as the EViews-12 statistical analysis software, to draw

conclusions. The study found that green investment contributes to creating long-term added value,

despite some short-term negative impacts, thus necessitating a balanced strategic approach. It

recommended strengthening and improving the efficiency of green investment, activating the role of

governance, linking research and development to actual performance, and supporting policies that

encourage sustainable investment.