The moderating role of corporate governance in the relationship between corporate social responsibility and bank performance

The study evaluates the effect of corporate social responsibility (CSR) on business performance moderated by governance factors, specifically non-executive directors (NEDs), using data from Vietnamese commercial banks from 2014 to 2024. The analysis employs models FGLS (Feasible Generalized Least Squares) and an unbalanced panel dataset comprising 20 commercial banks. NEDs are crucial in improving banks’ business performance in the framework of sustainable development, according to the research findings, which also indicate that CSR has a detrimental effect on business performance in all three models of ROA, ROE, and NIM. While Bad debt has a negative effect on performance indicators, the study also discovered that internal factors like Bank Size and LDR ratio have a positive relationship with business performance. Bank asset efficiency is negatively impacted by Inflation, while bank performance is positively impacted by Population growth and Foreign direct investment. The foundation for suggesting practical management implications for corporate operations in the framework of sustainable.