Unveiling The Nexus: Environmental, Social, And Governance Performance and Its Impact On the Cost of Debt for Indian Firms

• Author(s): Vishal Berwal ; Shreya Kushwaha
• Paper ID: 1709187
• Page: 467-468
• Published Date: 12-06-2025
• Published In: Iconic Research And Engineering Journals
• Publisher: IRE Journals
• e-ISSN: 2456-8880
• Volume/Issue: Volume 8 Issue 12 June-2025

Abstract

Environmental, Social, and Governance (ESG) considerations have gained prominence in shaping the strategic decisions of firms and the perception of stakeholders. This paper investigates the relationship between ESG performance and the cost of debt for Indian firms. Using panel data analysis from firms listed on the NSE between 2015 and 2023, the study finds that firms with strong ESG performance benefit from lower debt financing costs. This relationship is particularly significant in sectors with high environmental and regulatory exposure. The results emphasize the growing role of non-financial disclosures in credit risk assessment by lenders in India.

Citations

IRE Journals:
Vishal Berwal , Shreya Kushwaha "Unveiling The Nexus: Environmental, Social, And Governance Performance and Its Impact On the Cost of Debt for Indian Firms" Iconic Research And Engineering Journals Volume 8 Issue 12 2025 Page 467-468

IEEE:
Vishal Berwal , Shreya Kushwaha "Unveiling The Nexus: Environmental, Social, And Governance Performance and Its Impact On the Cost of Debt for Indian Firms" Iconic Research And Engineering Journals, 8(12)