Proceedings of the 2025 3rd International Academic Conference on Management Innovation and Economic Development (MIED 2025)

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The Influence of Climate Shocks on the Financing Constraints of Listed Enterprises

Authors
Kaidi Jiang1, *
1School of Economics and Management, East China Normal University, No. 3663, Zhongshan North Road, Shanghai, China
*Corresponding author. Email: 10214511404@stu.ecnu.edu.cn
Corresponding Author
Kaidi Jiang
Available Online 17 September 2025.
DOI
10.2991/978-94-6463-835-6_68How to use a DOI?
Keywords
Climate risk; Financial restrictions; Listed companies; Severe weather
Abstract

In the realm of global climate change, climate risk has emerged as a significant determinant influencing economic development. This paper utilises panel data from 2008 to 2022 to identify the occurrences of extreme high temperatures, extreme low temperatures, and significant precipitation events in Chinese prefecture-level cities as indicators of climate shocks, and investigates their mechanisms of action and effects on the financing constraints of publicly listed companies. The study reveals that excessive rainfall markedly exacerbates financial constraints but extreme high and low temperatures have a minimal effect. Heterogeneity study indicates that excessive rainfall significantly adversely affects the financial restrictions of firms in both the West and the East. Conversely, extremely low temperatures substantially damage businesses in the West, with a key observation being that non-public enterprises are more seriously impacted by climatic disruptions. The effect mechanism involves harsh climate intensifying financial constraints by harming fixed assets, impairing commercial operations, and obstructing technological advancement within enterprises. In light of this circumstance, it is advisable for firms to enhance their capacity to handle climate risk, for financial institutions to refine their climate risk assessment systems, and for the government to intensify climate risk management to alleviate adverse effects on enterprise financing.

Copyright
© 2025 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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Volume Title
Proceedings of the 2025 3rd International Academic Conference on Management Innovation and Economic Development (MIED 2025)
Series
Advances in Economics, Business and Management Research
Publication Date
17 September 2025
ISBN
978-94-6463-835-6
ISSN
2352-5428
DOI
10.2991/978-94-6463-835-6_68How to use a DOI?
Copyright
© 2025 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

Cite this article

risenwbib
TY  - CONF
AU  - Kaidi Jiang
PY  - 2025
DA  - 2025/09/17
TI  - The Influence of Climate Shocks on the Financing Constraints of Listed Enterprises
BT  - Proceedings of the 2025 3rd International Academic Conference on Management Innovation and Economic Development (MIED 2025)
PB  - Atlantis Press
SP  - 642
EP  - 651
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6463-835-6_68
DO  - 10.2991/978-94-6463-835-6_68
ID  - Jiang2025
ER  -