Abstract:Taking the heavily polluted listed companies from 2010 to 2020 as the sample data, this paper empirically studies the impact and mechanism of internal control quality on green investment. The research shows that the higher the quality of internal control, the more heavily polluted enterprises are likely to make green investments. The results of mechanism test show that the financing constraint is the intermediary variable between the quality of internal control and green investment, that is, the high quality of internal control can alleviate the financing constraint and promote corporate green investment. Further research found that the promotion effect of internal control quality on green investment is more significant in state-owned enterprises and large-scale enterprises, and financing constraints play an obvious and partially intermediary role in the impact of internal control quality on green investment in state-owned enterprises and small-scale enterprises.