IDEAS home Printed from https://ideas.repec.org/a/eme/ijsepp/ijse-02-2023-0116.html
   My bibliography  Save this article

Corporate social responsibility and performance among rural banks in Ghana: the moderating role of governance structures

Author

Listed:
  • Elvis Kwame Agyapong
  • Louis David Junior Annor
  • Williams Ohemeng

Abstract

Purpose - This paper evaluates the effect of corporate social responsibility (CSR) on the performance of rural banks, as well as the moderating influence of effective governance on the surmised nexus. Design/methodology/approach - Annual data for 122 Ghanaian rural banks from ARB Apex Bank, World Development Indicator (WDI) and World Governance Indicator (WGI) for the period 2014–2020 were compiled for analysis. A two-stage system generalized method of moments (GMM) estimator was used in examining the relationships under study. Findings - The findings suggest that CSR has a significant negative effect on return on assets (ROA), return on equity (ROE) and stability (Z-score). On the other hand, further results showed that CSR positively influences net interest margin (NIM). Again, the results suggest that government effectiveness exerts a positive moderating influence on the effect of CSR on performance from all four measurement criteria (ROA, ROE, NIM and Z-score) in the Ghanaian rural banking sector. Originality/value - The study focuses on the rural banking sector in the Ghanaian economy, compared to related studies that examine the subject matter for commercial banks. The moderating influence of governance structures is also assessed on the relationships to guide policy on rural banking. Peer review - The peer review history for this article is available at:https://publons.com/publon/10.1108/IJSE-02-2023-0116.

Suggested Citation

  • Elvis Kwame Agyapong & Louis David Junior Annor & Williams Ohemeng, 2023. "Corporate social responsibility and performance among rural banks in Ghana: the moderating role of governance structures," International Journal of Social Economics, Emerald Group Publishing Limited, vol. 51(1), pages 31-45, July.
    • Handle: RePEc:eme:ijsepp:ijse-02-2023-0116
    DOI: 10.1108/IJSE-02-2023-0116
    as

    Download full text from publisher

    File URL: https://www.emerald.com/insight/content/doi/10.1108/IJSE-02-2023-0116/full/html?utm_source=repec&utm_medium=feed&utm_campaign=repec
    Download Restriction: Access to full text is restricted to subscribers
    File URL: https://www.emerald.com/insight/content/doi/10.1108/IJSE-02-2023-0116/full/pdf?utm_source=repec&utm_medium=feed&utm_campaign=repec
    Download Restriction: Access to full text is restricted to subscribers
    File URL: https://libkey.io/10.1108/IJSE-02-2023-0116?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Louis David Junior Annor & Margarita Robaina & Elisabete Vieira, 2024. "Climbing the green ladder in Sub-Saharan Africa: dynamics of financial development, green energy, and load capacity factor," Environment Systems and Decisions, Springer, vol. 44(3), pages 607-623, September.

    More about this item

    Keywords

    Corporate social responsibility; Financial stability; Financial performance; Governance structures; G21; M15; R28;
    All these keywords.

    JEL classification:

    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
    • M15 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - IT Management
    • R28 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Government Policy

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eme:ijsepp:ijse-02-2023-0116. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Emerald Support (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.