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Natural Hazards

, Volume 95, Issue 1–2, pp 73–89 | Cite as

Corporate social responsibility, green credit, and corporate performance: an empirical analysis based on the mining, power, and steel industries of China

  • Lingyun He
  • Chen WuEmail author
  • Xiaolei Yang
  • Jiao Liu
Original Paper
  • 431 Downloads

Abstract

From the perspective of corporate social responsibility and environmental risk management, green credit will have an important impact on corporate performance. The influence of green credit policy on enterprises can be reflected by the borrowing ability and financing cost of the enterprises, which represent the support strength and price preference of green credit policy. Based on this, this paper considers data on long-term borrowing capacity, short-term borrowing capacity, corporate social responsibility report score, and assets’ return rate of 119 listed enterprises of mining, power, and steel industries in China, from 2010 to 2016, and uses a panel data model to estimates the general relationship between the corporate social responsibility, green credit, and corporate performance. We find that: First, taking the social responsibility can promote the enterprises’ long-term borrowing ability and reduce their financing cost, but it can inhibit their short-term borrowing ability. With a 1% improvement in corporate social responsibility score, the long-term borrowing ability of enterprises in three industries will be increased by 0.0867, 0.2688, and 0.0510%, respectively. Second, the positive undertaking of corporate social responsibility will promote the improvement in enterprise performance. The result of enterprise performance improvement for the sample industry is 0.05, 0.03, and 0.07%. Third, the long-term borrowing ability of enterprise green credit has a small promoting effect on the enterprises’ performance, with the coefficients being 0.1266, 0.0539, and 0.0306, respectively. This paper can be used as a reference to promote both implementation of green credit policy and corporate performance.

Keywords

Corporate social responsibility Environmental information disclosure Green credit Corporate performance 

Notes

Acknowledgments

The authors are grateful for the financial support provided by the Ministry of Education of Humanities and Social Science Project of China (Grant No. 16YJAZH015) and the National Natural Science Foundation of China (Grant No. 71673270).

Compliance with ethical standards

Conflict of interest

The authors declare no conflicts of interest.

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Copyright information

© Springer Nature B.V. 2018

Authors and Affiliations

  1. 1.School of ManagementChina University of Mining and TechnologyXuzhouChina
  2. 2.Jiangsu International Energy Policy Research Center of Colleges and UniversitiesXuzhouChina

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