Do sustainable investments propel the national economy? Evidence from manufacturing and service sectors in India

This study is conducted to identify the various sustainability initiatives by the Indian manufacturing and service industry, which are listed in BSE 100. Moreover, the present study indicates the impact of sustainability initiatives on financial performance.A comparative analysis has been conducted between the manufacturing and service sectors. The present study is descriptive and causal design. The sample contains 75 firms listed on BSE 100 and data collected from CMIE Prowess IQ. Panel data regression has been used to check the effect of sustainability measures on financial performance. The significant findings of this study are that investing in sustainability measures has a significant impact on the financial performance of the companies in both sectors; however, in the service sector, sustainability has more impact than in the manufacturing industry. The study's implications have been classified into broad categories: academic and managerial implications.