The Relationship between CSR and Banks' Financial Performance: Evidence from Turkey

Dilvin TASKIN
1.251 1.737

Öz


Purpose: To analyze the bidirectional relationship between CSR practices of Turkish banks and their financial performance, which is proxied by ROE, ROA and NIM for the year 2013.

Originality/value: The paper focus on the changing nature of the Turkish banks which face greater competition and their attempts at practicing CSR

Design/methodology/approach: The study uses content analysis to analyze the degree of CSR on a CSR index and uses regression analysis to determine the link between performance and CSR

Findings: The results show that ROA and ROE have no explanatory power over CSR, whereas there’s a bi-directional relationship between CSR and NIMs. The banks seem like charging the costs of the CSR practices from their customers

Research limitations/implications: The research is limited to a single year

Social implications of study: The regulatory bodies should monitor the prices of the banks that have CSR practices


Anahtar kelimeler


Bankacılık, Kurumsal Sosyal Sorumluluk, Finansal Performans

Tam metin:

PDF (English)


DOI: http://dx.doi.org/10.19168/jyu.97694

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Appendix-The Grading for CSR Practices

CSR Information Economic

Economic Performance Market Presence

Indirect Economic Impacts Average Materials Energy Water Biodiversity

Emissions Effluents Waste

Products Services Compliance Transport Overall

Labor Practice and Decent Work Social Employment Labor Management

Occupational Health Safety

Training and Education

Diversity Equal Opportunity Average

Investment Procurement Practices Non-Discrimination

Freedom of Association and

Collective Bargaining Child Labor

Forced and Compulsory Labor Security Practices

Indigenous Rights Average Community Corruption Public Policy

Anti-Competitive Behavior Compliance Average

Product and Service Labeling

Marketing Communications Compliance Average