Mariia Shkurat, Associate Professor of the Department of International Economic Relations, Vasyl Stus Donetsk National University, Vinnytsia, Ukraine

ORCID ID: 0000-0003-3263-25
e-mail: m.shkurat@donnu.edu.ua

Anastasia Nikolaeva, student of the Department of Finance and Banking, Vasyl Stus Donetsk National University, Vinnytsia, Ukraine

ORCID ID: 0009-0002-0005-7691
e-mail: nikolaevanasta200@gmail.com

Developing the Green Economy as a Driving Force for Sustainable Development of the Global Economy

Abstract. Introduction. The green economy is an important concept that focuses on developing economic systems that take into account environmental sustainability and social equity. It involves a transition from a traditional economy based on fossil fuels and non-renewable resources to one that minimizes negative environmental impacts and promotes sustainable development. The green economy aims to balance economic growth with the conservation of natural resources and social well-being, laying the foundation for a sustainable future. This article examines the direction of the green economy and argues for its necessity in the context of globalization.

Purpose. The primary purpose of this study is to explore the various challenges addressed by the green economy, including social, financial, energy and climate issues. It aims to analyze the positive and negative impacts of the green economy on countries’ foreign trade relations and to assess the potential of this transition to create new export opportunities for developed countries. In addition, the study considers the threat of “green protectionism” that could limit growth in individual countries. Ultimately, the research seeks to highlight the need to revise economic policies to enhance social welfare and reduce environmental risks to ensure the successful implementation of a global green resource and sustainable economic system.

Results. The study finds that the green economy promotes both qualitative and quantitative growth by addressing multiple challenges across sectors. Positive impacts include the stimulation of cooperation in the development of environmental technologies, increased foreign trade, and increased investment in sustainable projects. Developed countries gain new export opportunities through green technologies and products. However, the study also highlights the risk of “green protectionism,” in which stringent environmental regulations could create trade barriers that affect the growth of less developed countries.

Conclusions. In conclusion, the transition to a green economy is essential to achieve sustainable development, reduce dependence on natural resources and mitigate environmental impacts. Its successful implementation requires the restructuring of foreign trade policies to support a sustainable economic system. The modern world faces an urgent need to adopt sustainable development practices, and the green economy is a critical component of this transition. By fostering international cooperation, promoting environmental technologies, and ensuring the sustainability of economic growth, the green economy can make a significant contribution to global development. Understanding the relationship between the green economy and economic relations is key to developing strategies that ensure the sustainable development of the global economy.

Keywords: green economy; sustainable development; natural resources; foreign trade relation; export.

References:

1. Horianska, T. V. (2015). «Zelena ekonomika» yak chynnyk rozvytku zovnishnotorhovelnykh vidnosyn. https://economy.kpi.ua/uk/node/643.
2. Perederii, T.S. (2018). Zelena ekonomika yak zaporuka staloho rozvytku. https://dspace.univd.edu.ua/server/api/core/bitstreams/1a47793a-f6ba-40b7-8087-cbd96419aba1/content
3. Sych, K. O., Buhaichuk, V. V. & Hrabchuk, I. F. (2021). Tendentsii ta perspektyvy rozvytku zelenoi ekonomiky v Ukraini. https://economyandsociety.in.ua/index.php/journal/article/view/648/623.
4. United Nations Environment Programme: vebsait. (2018). About green economy. https://unece.org/green-economy-3.
5. Bubenko, P. T. and others (2014). Ekonomika dovkillia i pryrodnykh resursiv: navchalnyi posibnyk. Kh.: KhNUMH.  https://core.ac.uk/download/pdf/33756495.pdf.
6. Orlovska, Yu.V., Chala, V.S. & Hlushchenko, A.V. (2023). Polityka YeS shchodo zelenoi ekonomiky ta innovatsii: Pidruchnyk. D.: PDABA. https://pgasa.dp.ua/wp-content/uploads/2023/05/Pidruchnyk-Polityka-YES-shhodo-zelenoyi-ekonomiky-ta-innovatsij.pdf
7. Markevych, K., Sidenko, V. (2019). «Zeleni» investytsii u stalomu rozvytku: svitovyi dosvid ta ukrainskyi kontekst. https://razumkov.org.ua/uploads/article/2019_ZELEN_INVEST.pdf.