Analysis The Impact and Mechanisms of Firms' ESG Performance on Their Financing Constraints--Evidence from Chinese Listed Companies
DOI:
https://doi.org/10.54097/ye6yv270Keywords:
ESG Performance, Financing Constraints, Information TransparencyAbstract
ESG performance is a significant non-financial measure used to assess a company's environmental, social responsibility, and corporate governance. Its influence on a company's financing constraints has increasingly become a research focus in the field of sustainable development and ecological civilization construction. This paper explores the impacts and mechanisms of ESG performance on firms' own financing constraints, and finds that: the enhancement of firms' ESG performance can alleviate their own financing constraints; firms' enhancement of ESG performance can alleviate their own financing constraints through the channel of improving the firms' information transparency; firms' enhancement of ESG performance can alleviate their financing constraints more strongly in the samples with a high proportion of the entire majority shareholders' holdings and those from the eastern part of China.
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