Impact of Corporate Social Responsibility on Firm Financial Performance: Evidence from Insurance Sector of Pakistan

Dr. Muhammad Siddique, Dr. Muhammad Sarfraz Khan, Dr. Kamran Ali and Zunaira Maqsood
Additional contact information
Dr. Muhammad Siddique: Associate Professor, Department of Commerce, University of the Punjab, Gujranwala Campus, Pakistan
Dr. Muhammad Sarfraz Khan: Assistant Professor, Department of Commerce, University of the Punjab, Gujranwala Campus, Pakistan
Dr. Kamran Ali: Assistant Professor, Department of Commerce, University of the Punjab, Gujranwala Campus, Pakistan
Zunaira Maqsood: Research Scholar, Department of Commerce, University of the Punjab, Gujranwala Campus, Pakistan

Journal of Policy Research (JPR), 2023, vol. 9, issue 3, 1-14

Abstract: Corporate social responsibility (CSR) has become an emerging field of research and practice and little is known about its implications for financial sector firms in developing countries like Pakistan. This study investigates impact of CSR on firm performance for insurance sector of Pakistan. Using data of twenty-eight insurance companies for eight years, this study found that CSR has a positive influence on return on assets (ROA) and earnings per share (EPS), and insignificant influence on return on equity (ROE). Further, firm size predicted ROA, while leverage predicted ROE and EPS. Overall, this study documents that CSR could be a significant predictor of financial performance of firms in financial sector of developing economies like Pakistan. Findings of this study enable the managers of financial sector firms to understudy value of CSR and adopt it to manage their performance.

Keywords: Corporate Social Responsibility; Financial Performance; Insurance Firms (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://jprpk.com/index.php/jpr/article/view/340/572 (application/pdf)
https://jprpk.com/index.php/jpr/article/view/340 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:rfh:jprjor:v:9:y:2023:i:3:p:1-14

Access Statistics for this article

Journal of Policy Research (JPR) is currently edited by Dr. Muhammad Irfan Chani

More articles in Journal of Policy Research (JPR) from Research Foundation for Humanity (RFH) Contact information at EDIRC.
Bibliographic data for series maintained by Dr. Muhammad Irfan Chani ().