What question did this study set out to answer?

The study aims to explore the relationship between ESG performance and bank risk-taking, focusing on the role of environmental uncertainty.

February 25, 2026SAGE OpenOpen Access

ESG Performance and Bank Risk-Taking in Developed and Developing Countries: The Moderating Role of Environmental Uncertainty

View Full Paper

Ask AI

Bookmark

Authors

CZChangjun ZhengHuazhong University of Science and Technology MMMeliev MurodHuazhong University of Science and Technology MKMd Abdul Mannan KhanGopalganj Science and Technology University

Discussion

Member takes

Implication

This analysis demonstrates the influence of ESG performance on bank risk in varying environmental conditions, suggesting significant implications for policy.

Key Points

The study aims to explore the relationship between ESG performance and bank risk-taking, focusing on the role of environmental uncertainty.
Analyzed an unbalanced sample of 315 listed banks from China and the USA (2011-2022)
Utilized a two-step generalized methods of moments (2sGMM) regression model
Conducted robustness checks using two-stage least squares (2SLS) regression technique
Identified a significant negative relationship between ESG performance and bank risk-taking
Found a non-linear U-shaped relationship indicating diminishing benefits of ESG practices beyond a certain threshold
Demonstrated that environmental uncertainty moderates the ESG-performance risk-taking relationship, particularly in China

Cite This Study

Zheng et al. (2026) studied this question.

synapsesocial.com/papers/699e919cf5123be5ed04f371 https://doi.org/10.1177/21582440261425935

View Full Paper

Ask AI

Bookmark

Implication

This analysis demonstrates the influence of ESG performance on bank risk in varying environmental conditions, suggesting significant implications for policy.

ESG Performance and Bank Risk-Taking in Developed and Developing Countries: The Moderating Role of Environmental Uncertainty

Discussion

Member takes

Implication

Key Points

Cite This Study

ESG Performance and Bank Risk-Taking in Developed and Developing Countries: The Moderating Role of Environmental Uncertainty

Discussion

Member takes

Implication

Key Points

Cite This Study

Also Consider

Also Consider