Leveraging Financial Inclusion to Drive Public-Private Partnership Investments in Energy: Role of Financial Institutions in ASEAN Nations

Xinfu Yi; Umar Farooq; Abdulrahman Alomair; Abdulaziz S. Al Naim; Khurshid Khudoykulov

doi:10.5755/j01.ee.36.5.40967

Authors

Xinfu Yi Postdoctoral workstation of Guangxi Rural Commercial Union Bank and Institute of Western China Economic Research, Southwestern University of Finance and Economics, China
Umar Farooq School of Economics and Finance, Xi'an Jiaotong University, China
Abdulrahman Alomair Accounting Department, Business School, King Faisal University, Saudi Arabia
Abdulaziz S. Al Naim Accounting Department, Business School, King Faisal University, Saudi Arabia
Khurshid Khudoykulov Department of Finance and Tourism, Termez University of Economics and Service; Department of Finance and Financial Technologies, Tashkent State University of Economics; Department of Finance and Accounting, Fergana State Technical University, Uzbekistan

DOI:

https://doi.org/10.5755/j01.ee.36.5.40967

Keywords:

ASEAN, CS-ARDL, Financial Inclusion, Public-Private Partnership (PPP), PPPs Investment in Energy

Abstract

Amid rising concerns over energy security and the growing demand for sustainable infrastructure, mobilizing public-private partnership (PPP) investments in the energy sector has become a critical policy objective for ASEAN nations. This study contributes to the literature by uncovering the pivotal role of financial inclusion (FIC) in enhancing such investments. By improving access to financial services, FIC fosters a more conducive environment for energy-related PPPs, particularly in emerging economies where capital mobilization is constrained. Using panel data from 1999 to 2023 for ASEAN countries, the analysis confirms that FIC exerts a positive and statistically significant impact on PPP investments in energy (PPI), even after controlling for government spending, FDI, economic growth, and aid. These findings position financial inclusion not only as a tool for economic empowerment but also as a strategic lever for infrastructure development. The study further strengthens its conclusions through robust empirical techniques. Overall, this research offers novel insights into how inclusive financial systems can unlock private investment in critical energy infrastructure, supporting broader sustainable development goals in the region.

Author Biographies

Xinfu Yi, Postdoctoral workstation of Guangxi Rural Commercial Union Bank and Institute of Western China Economic Research, Southwestern University of Finance and Economics, China

Xinfu Yi is currently affiliated with the Postdoctoral Workstation of Guangxi Rural Commercial Union Bank and the Institute of Western China Economic Research at the Southwestern University of Finance and Economics, located in Chengdu, Sichuan, China. His research focuses on rural finance, regional economic development, and financial innovation in emerging markets. With a strong background in applied economics, Xinfu Yi contributes to policy-relevant research aimed at promoting inclusive growth and sustainable development in western China. His work integrates empirical analysis with practical insights, offering valuable guidance to both academic audiences and financial institutions engaged in rural and regional development.
Umar Farooq, School of Economics and Finance, Xi'an Jiaotong University, China

Umar Farooq Mr. is a Ph.D. (applied economics) at the SOEF, Xian Jiaotong University, China. He has a strong research interest in the areas of corporate finance and investment, green finance, sustainable development, and macroeconomic theory and practice. He has published more than 100 research articles and his articles has recently published in peer-reviewed journals including the International Review of Financial Analysis, Borsa Istanbul Review, Research in International Business and Finance, Journal of Cleaner Production, International Journal of Finance and Economics, International Review of Administrative Sciences and many more. ORCID: https://orcid.org/0000-0002-5772-5243
Abdulrahman Alomair, Accounting Department, Business School, King Faisal University, Saudi Arabia

Abdulrahman Alomair holds a Ph.D. in Accounting and Finance from Victoria University, Australia, and an MS in Accounting from Fairleigh Dickinson University, USA. He is a Saudi Assistant Professor in the Accounting Department at King Faisal University, KSA. His research interests include corporate governance, ESG disclosure, IFRS implementation, audit quality, and financial reporting. Proficient in statistical software like Stata and SPSS, Dr. Alomair has published several papers in leading journals in accounting and finance, including the Asian Economic and Financial Review, Heliyon, Sustainability, and Accounting and Finance. ORCID: https://orcid.org/0000-0001-7493-7822
Abdulaziz S. Al Naim, Accounting Department, Business School, King Faisal University, Saudi Arabia

Abdulaziz S. Al Naim holds a Ph.D. in Accounting from Victoria University, Australia, and an MS in Accounting from the University of St. Thomas, a private Catholic university located in Houston, Texas, United States. He currently serves as a Saudi Assistant Professor in the Accounting Department at King Faisal University, KSA. His research interests encompass auditing, audit quality, corporate governance, financial reporting, and related accounting topics. Skilled in utilizing statistical software such as Stata and SPSS for empirical research, Dr. Al Naim actively contributes to scholarly literature and has published in reputable accounting and finance journals. ORCID: https://orcid.org/0000-0001-7493-7822
Khurshid Khudoykulov, Department of Finance and Tourism, Termez University of Economics and Service; Department of Finance and Financial Technologies, Tashkent State University of Economics; Department of Finance and Accounting, Fergana State Technical University, Uzbekistan

Khurshid Khudoykulov, Dr., is an Associate Professor at Tashkent State University of Economics, Uzbekistan. He specializes in finance, banking, and economic policy, with a particular focus on digital finance, financial technology, and macroeconomic stability. His research explores the intersection of innovation and economic development, contributing to academic literature and public policy discourse. Dr. Khudoykulov has authored numerous scholarly articles and actively engages in international academic collaborations. He is committed to advancing financial education and fostering economic resilience through research and teaching, positioning himself as a leading voice in Central Asia’s evolving economic landscape.