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ESG ratings and female corporate leadership: Evidence from African firms

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  • Ngalim, Lawrence

Abstract

Despite increasing scholarly research on the dynamic causal link between environmental, social, and governance (ESG) drive and female corporate leadership, limited knowledge exists regarding the African context. This study decreases this research dearth and uncovers bidirectional causality within African firms between 2010 and 2022. Empirical results indicate that female leadership significantly influences future ESG ratings, and ESG implementation negatively affects female leadership. Ceteris paribus, managerial myopia will likely maintain this negative outcome. These findings lead to managerial and policy implications aligned with the United Nations’ Sustainable Development Goals and the African Union Agenda 2063.

Suggested Citation

  • Ngalim, Lawrence, 2024. "ESG ratings and female corporate leadership: Evidence from African firms," Finance Research Letters, Elsevier, vol. 69(PB).
    • Handle: RePEc:eee:finlet:v:69:y:2024:i:pb:s1544612324012108
    DOI: 10.1016/j.frl.2024.106181
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    More about this item

    Keywords

    African firms; ESG ratings; Female corporate leadership;
    All these keywords.

    JEL classification:

    • M14 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Corporate Culture; Diversity; Social Responsibility
    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa
    • Q50 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - General

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