The FiMeGo research group celebrates the publication of a new article in the journal BRQ – Business Research Quarterly, the result of the joint work of researchers from the Autonomous University of Madrid and the University of Palermo.

The article, entitled “The Relationship Between ESG and Corruption Events in the Banking Industry: An Empirical Analysis”, was written by Pablo de Andrés and Nuria Suárez (Universidad Autónoma de Madrid), both members of the FiMeGo research group, together with Salvatore Polizzi and Enzo Scannella (University of Palermo), members of an international research team.

The study analyzes the relationship between ESG (Environmental, Social and Governance) practices and the likelihood of corruption events in the banking sector. In particular, the authors examine whether ESG commitment reflects real ethical involvement or whether it responds to corporate signaling strategies. To do so, they use a sample of Eurozone banks over the period 2013-2022.

The results show that a higher level of ESG performance is associated with a lower probability of corruption events in banking institutions. The study also highlights the particularly relevant role of the governance pillar in preventing this type of behavior. The findings also show that both governance mechanisms at the bank level and institutional factors at the country level influence the relationship between ESG and corruption.

This paper contributes to the literature on sustainability and corporate ethics in the financial sector, providing relevant empirical evidence on the role of ESG criteria in improving banking integrity.

The article is available at: https://doi.org/10.1177/23409444261416937