Open AccessContent analysis of bank disclosures related to ESG risks
Author(s) -
Zsuzsanna Tamásné Võneki,
Gabriella Lamanda
Publication year - 2020
Publication title -
economy and finance
Language(s) - English
Resource type - Journals
eISSN - 2677-1322
pISSN - 2415-9379
DOI - 10.33908/ef.2020.4.3
Subject(s) - corporate governance , business , accounting , content analysis , risk management , process (computing) , corporate social responsibility , public relations , finance , political science , computer science , social science , sociology , operating system
The current article focuses on ESG risks. Taking into account ESG aspects, and the expectations and guidelines related to public reports on ESG risks, we created a list of questions, based on which we evaluated the reports of nine large domestic banks published in 2019. Based on a content analysis of the reports, we can con-firm the hypothesis that ESG risks are not built into the risk management process and are not defined as independent risks, and that the ESG framework does not have a dedicated organization. The management of ESG risks is unstructured and only partially reflected in domestic practice, and since there is no uniform requirement for disclosure, heterogeneous reports and information content are typical. The main problem can be seen in the absence of a definition of the ESG framework. Related to the three issues (the environment, social responsibility, and corporate governance), banks lag far behind in integrating environmental considerations into lending policy.