IDEAS home Printed from https://ideas.repec.org/a/sae/sagope/v14y2024i4p21582440241292134.html
   My bibliography  Save this article

The Relationship of Carbon Emission Disclosure on The Cost of Debt

Author

Listed:
  • Mohammad Nasih
  • Astri Puspitasari
  • Iman Harymawan
  • Fajar Kristanto Gautama Putra
  • Hadrian Geri Djajadikerta

Abstract

Carbon Emission Disclosure (CED) trends have been positive for several years. Unfortunately, studies focusing on the relationship between CED and the Cost of Debt (COD) still need to be made available, particularly in emerging countries. Addressing this gap, this study aims to analyze the relationship between CED and COD in Indonesia. We predict that firms can enjoy a lower COD by lowering asymmetry information and fulfilling public expectations through CED. Using the unique characteristic of Indonesian-listed firms that participated Public Disclosure Program for Environmental Compliance (PROPER) during 2015 to 2019, we confirmed our verdict. Our result is robust due to several endogeneity test checks. Our study is believed to be one of the pioneers in analyzing the impact of CED on COD in the emerging market. Moreover, this study sample is limited to firms that follow PROPER, and we believe this is one of the robust initiatives to minimize greenwashing practices in CED.

Suggested Citation

  • Mohammad Nasih & Astri Puspitasari & Iman Harymawan & Fajar Kristanto Gautama Putra & Hadrian Geri Djajadikerta, 2024. "The Relationship of Carbon Emission Disclosure on The Cost of Debt," SAGE Open, , vol. 14(4), pages 21582440241, November.
    • Handle: RePEc:sae:sagope:v:14:y:2024:i:4:p:21582440241292134
    DOI: 10.1177/21582440241292134
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/21582440241292134
    Download Restriction: no
    File URL: https://libkey.io/10.1177/21582440241292134?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
    ---><---

    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:sae:sagope:v:14:y:2024:i:4:p:21582440241292134. 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: SAGE Publications (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.