Abstract
The article supplements the findings on the influence of macroeconomic factors, institutional environment quality and company’s ESG results on leverage increase in European, BRIC and Russian companies. Based on logit models, it was empirically found that: 1) improving business environment, adherence of rules of law, reducing the uncertainty of economic policy characterize the possibility of attracting external equity capital and reduction of debt, as the most “safe” source of financing due to the order of interest payments; 2) companies in countries with a bank-oriented financial system also have leverage more, then average; 3) improving the company’s ESG results increases the probability that the leverage of such companies will exceed the average. For sample of Russian companies, based on logit-model also was found, that an increase in ESG stimulate leverage.
Published Version
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