Corporate Governance and Corporate Social Responsibility Reporting: Empirical Evidence from Bangladesh

This chapter examines the relationship between corporate governance and corporate social responsibility (CSR) reporting in annual report in the context of an emerging country, Bangladesh. Corporate governance is measured using an index consisting of 134 dichotomous elements. The extent of CSR reporting in annual reports is measured by an index score consisting of 15 elements. Using a 13-year panel dataset for the listed manufacturing companies, the results indicate that corporate governance is significantly and positively related to a firm's decision to engage in CSR reporting, and the extent of such reporting. The study provides empirical evidence to policy makers and regulators in Bangladesh and other emerging countries with similar institutional settings for implementing an effective corporate governance system.