 Biodiversity risk and corporate debt maturityKiet Tuan Duong, Thong Trung Nguyen and Huong Thi Xuan Tram International Review of Financial Analysis, 2025, vol. 107, issue C Abstract: This paper investigates how biodiversity risks influence corporate debt maturity choices. Utilizing a sample of publicly listed firms in the United States between 2000 and 2023, our findings suggest that exposure to biodiversity risks increases the likelihood that firms will reduce their reliance on short-term borrowing. As firms face significant difficulties in constrained natural resources for their operations under biodiversity risks, they tend to avoid adding inherent risks embedded in short-term debt. However, our paper also finds that larger firm size, diversification across offshoring input countries, and government contracting can help mitigate the adverse impact of biodiversity risks on short-term debt maturities. Our study provides valuable insights for both firms and governments to develop strategies and support mechanisms to address the challenges caused by biodiversity risks. Keywords: Biodiversity risk; Geographical diversification; Government contract; Debt maturity; Leverage (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:eee:finana:v:107:y:2025:i:c:s105752192500643x DOI: 10.1016/j.irfa.2025.104556 Access Statistics for this article International Review of Financial Analysis is currently edited by B.M. Lucey More articles in International Review of Financial Analysis from Elsevier |
Is your work missing from RePEc? Here is how to contribute.
Questions or problems? Check the EconPapers FAQ or send mail to .
EconPapers is hosted by the
School of Business at Örebro University.