Natural resources and sustainable development: Evaluating the role of remittances and energy resources efficiency

This study investigates one of the most controversial questions of whether natural resources are curse or blessings for sustainable development in the South Asian economies. In this essence, the current study analyzed four emerging economies (Sri Lanka, Pakistan, India. and Bangladesh) from 1990 to 2020. This study also explores the role of remittances, technological innovation, and energy efficiency in sustainable development. Using panel data diagnostic tests, this study found that the cross-section dependence and the slope coefficient heterogeneity are valid in the panel economies. The empirical estimator is employed based on the asymmetric data distribution, i. e., the novel method of moment quantile regression (MMQR). The examined results revealed that natural resources positively affect sustainable development-validating natural resource blessings in South Asian economies. Besides, technological innovation and energy efficiency also help to promote sustainable development. However, remittances adversely affect the sustainable development of the region. The results are highly significant and robust, as validated by the Bootstrap quantile regression. The empirics allow this study to suggest the sustainable use of natural resources, improved technological and energy efficiency-related investments, and regulating remittances to boost economic activities and achieve sustainable development in the region.