The potency of natural resources and trade globalisation in the ecological sustainability target for the BRICS economies

Tomiwa Sunday Adebayo; Ahmed Samour; Andrew Adewale Alola; Shujaat Abbas; Mehmet Ağa

doi:10.1016/j.heliyon.2023.e15734

The potency of natural resources and trade globalisation in the ecological sustainability target for the BRICS economies

Heliyon. 2023 Apr 25;9(5):e15734. doi: 10.1016/j.heliyon.2023.e15734. eCollection 2023 May.

Authors

Tomiwa Sunday Adebayo¹, Ahmed Samour², Andrew Adewale Alola^{3

4}, Shujaat Abbas⁵, Mehmet Ağa⁶

Affiliations

¹ Department of Economics, Faculty of Economic and Administrative Science, Cyprus International University, Nicosia, Northern Cyprus, via Mersin-10, Turkey.
² Department of Accounting , Dhofar University, Salalah, Sultanate of Oman.
³ CREDS-Centre for Research on Digitalization and Sustainability, Inland Norway University of Applied Sciences, Norway.
⁴ Faculty of Economics, Administrative and Social Sciences, Nisantasi University, Istanbul, Turkey.
⁵ Graduate School of Economics and Management, Ural Federal University, Russian Federation.
⁶ Department of Accounting and Finance, Faculty of Economic and Administrative Science, Cyprus International University, Nicosia, Northern Cyprus, via Mersin-10, Turkey.

Abstract

The BRICS nations have yet to significantly contribute to achieving Sustainable Development Goals (SDG) 7 and 13. Dealing with this problem might necessitate a policy shift, which is the main topic of this research. Therefore, the current study scrutinizes the interrelationship between natural resources, energy, trade globalisation and ecological footprint using panel data from the period between 1990 and 2018 for the BRICS nations. To assess the interrelationship between ecological footprint and its determinants, we used the Cross sectional autoregressive distributed lag (CS-ARDL) and common correlated effects. mean group (CCEMG) estimators. The findings show that economic progress, and natural resources lessen ecological quality, while renewable energy and trade globalization improves ecological quality in the BRICS nations. Based on these results, the BRICS nations need to upgrade their use of renewable energy sources and improve the structure of their natural resource endowments. Furthermore, trade globalisation necessitates immediate policy responses in these nations since it reduces ecological damage.

Keywords: Ecological footprint; Natural resources; Renewable energy; Trade globalisation.