The Effect of Green Banking on the Financial Performance of Commercial Banks in Indonesia: The Mediating Role of Efficiency and Moderating Role of Environmental, Social, and Governance (ESG) Factors

Indra Siswanti (), Hosam Alden Riyadh (), Lenny C. Nawangsari (), Embun Prowanta (), Putri Andari Ferranti () and Noor Hazlina Ahmad ()
Additional contact information
Indra Siswanti: Universitas Mercu Buana
Hosam Alden Riyadh: Curtin University
Lenny C. Nawangsari: Universitas Mercu Buana
Embun Prowanta: Perbanas Institute
Putri Andari Ferranti: Universitas Mercu Buana
Noor Hazlina Ahmad: Universiti Sains

A chapter in Proceedings of the 8th International Conference on Corporate Social Responsibility and Sustainable Development, 2026, pp 111-131 from Springer

Abstract: Abstract This study aims to determine the effect of green banking on the financial performance of commercial banks in Indonesia with efficiency as a mediating variable and Environmental, Social, and Governance (ESG) as a moderating variable. This study was conducted at commercial banks included in the KBMI 3 and KBMI 4 categories with a research period of 2018–2023. The sampling technique used in this study was purposive sampling, specifically judgment sampling, where only commercial banks in the KBMI 3 and KBMI 4 categories were selected based on specific criteria. The data analysis technique used was panel regression analysis using eviews. The results of the study stated that green banking has a significant positive effect on financial performance, efficiency has a significant positive effect on financial performance, Environmental, Social, and Governance (ESG) moderates the effect of green banking on financial performance, green banking has a significant positive effect on efficiency and efficiency mediates the effect of green banking on financial performance.

Keywords: Green banking; Financial performance; Efficiency; Enviroment social governance (search for similar items in EconPapers)
Date: 2026
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

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:spr:prbchp:978-981-95-4200-0_7

Ordering information: This item can be ordered from
http://www.springer.com/9789819542000

DOI: 10.1007/978-981-95-4200-0_7

Access Statistics for this chapter

More chapters in Springer Proceedings in Business and Economics from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().