The Effect of Corporate Social Responsibility Disclosure on Financial Performance: Evidence from Palestine
Publication Type
Conference Paper

This study attempts to examine the relationship between corporate social responsibility (CSR) and corporate financial performance for Palestinian listed companies. Four dimensions of CSR namely: environmental information, human resources, community involvement, product and customer service quality were investigated using a checklist that expresses CSR disclosures. General CSR index that encompasses all dimensions is examined firstly and then each dimension effect is investigated. Corporate performance is measured by ROE, ROA and TQ. This study has used secondary data, which have been manually collected from annual reports for 46 Palestinian corporations for five sectors, for the years 2015-2018. Results demonstrate a positive association between disclosure of CSR and financial performance for Palestinian listed companies except for TQ. This positive relation is robust to industry differences, though banking and insurance industries were slightly higher in performance than other sectors. The dimensions of CSR are also positively related to performance in general with differences in the robustness of this relationship. The Community involvement was the most robust and the environmental dimension was the least robust. This research recommends that Palestinian corporation should pay more attention to practicing and disclosing CSR in order to enhance performance.

Conference Title
“The Challenges of the Palestinian Economy in the Face of Political Pressure and the Repercussions of the Corona Crisis”. The Third Conference of the Faculty of Economics and Social Sciences, An-Najah National University, Sunday 11/4/2021
Conference Country
Conference Date
April 11, 2021 - April 11, 2021
Conference Sponsor
An-Najah National University