Impact of Public-Private Partnership and Technology Transfer on Environmental Sustainability

Abstract

The current study analyzes the Environmental Kuznets Curve hypothesis by examining how asymmetric energies between material depletion and foreign direct investment and environmental degradation operated across the Organization of Islamic Cooperation countries from 1983 to 2024. The research implements critical environmental indicators CO₂ (Carbon dioxide) and CH₄ (Methane) and N₂O (Nitrous oxide) with ECF (Ecological footprint) to analyze greenhouse gas emissions' effects on environmental sustainability. The analysis based on panel data econometrics reveals asymmetric relationships between variables that affect CO2, N2O and CH4 emissions and ecological footprint (ECF). The results demonstrate that FDI promotes CO2 and N2O emissions but reduces CH4 emissions, which leads to overall environmental quality improvement in the future. The positive relationship of trade openness with environmental emissions dominates its protective mechanisms because industrial enlargement and resource utilization play the dominant role. The dual nature of economic growth becomes clear because rising rates lead to worse environmental conditions, but decreasing economic growth presents unpredictable results in terms of pollutant levels. The reduction of emissions occurs through urbanization processes, which shows stronger evidence than emissions due to energy consumption, thus requiring sustainable energy guidelines. The study provides essential information to policymakers about controlling FDI while establishing sustainable trading practices and adopting renewable power generation systems to decrease environmental degradation across OIC nations. The study demonstrates that governments need specific actions which combine the development of economies with environmentally sound practices