Digital evolution and interaction of green initiatives with institutional instruments: emerging determinants of SDGs-2030 of BRICS

The study highlights the importance of sustainable development for achieving a sustainable environment, a pressing global issue. BRICS nations have adopted measures such as digitalization, green taxes, green energy, green innovation, and institutional reforms to improve environmental sustainability. For this purpose, this study employed a panel dataset covering 1990–2021. Panel cointegration, 3SLS, Newey West standard error regression, multivariate, mixed, and quantile regression were used to analyze the relationships between these factors, while FGLS, Drisc/Kraay, FMOLS, and DOLS were utilized to verify the robustness of the models. The empirical findings show that these factors positively impact environmental sustainability. Specifically, a 1% increase in the green index improves environmental quality by 1.861%, while a 1% increase in technology usage enhances it by 0.2867%. Additionally, a 1% improvement in institutional quality boosts sustainability by 0.1483%. However, a 1% increase in natural resource rents results in a 0.0505% decline in environmental quality, highlighting the detrimental effect of overexploitation. The study concludes that the key drivers of sustainable natural resource consumption and environmental protection in BRICS are digitalization, institutional quality, and green innovation. To achieve a sustainable environment, BRICS economies must strengthen institutional frameworks, promote green technology, regulate natural resource extraction, and pursue sustainable economic growth. © The Author(s), under exclusive licence to Springer Nature B.V. 2024.