Digital Inclusive Finance and Corporate Social Responsibility

Abstract

The development of Digital Inclusive Finance (DIF) has played an indispensable role in promoting the development of China's macro-economy as well as the economic benefits of micro-enterprises. By examing data on Chinese listed companies from 2011-2021, this paper investigates the impact of DIF on corporate social responsibility (CSR) and its underlying mechanism. The results show that DIF has a significant contribution to the assumption of corporate social responsibility and the results pass a series of robustness tests; the results of the mechanism tests show that DIF promotes CSR by improving the quality of accounting information disclosure; further research finds that the impact of DIF on CSR is greater among non-state enterprises, smaller enterprises and enterprises with a lower percentage of institutional investors' shareholding. This study provides inspiration for promoting CSR and government policy making.