AN ANALYSIS OF BUSINESS RESPONSIBILITY AND SUSTAINABILITY REPORT OF SELECTED INDIAN COMPANIES

Biswadeep Mishra; Aakash Sharma

doi:10.55955/220001

Authors

Prof. B. D. Mishra Guru Ghasidas Vishwavidyalaya https://orcid.org/0000-0001-9836-263X
Mr. Aakash Sharma Guru Ghasidas Vishwavidyalaya https://orcid.org/0000-0001-8946-6074

DOI:

https://doi.org/10.55955/220001

Keywords:

Sustainability, BRSR, Sustainable Finance, ESG

Abstract

Investors and governments from all around the globe have been putting increased emphasis on the need for environmentally responsible finance. It would be useful to urge investors to study issues that go beyond risk and return since this would be beneficial. This would accomplish the goal of facilitating the growth of responsible investment, which would be beneficial. The advancement of the Indian market in the direction of a more sustainable environment would be beneficial to India's standing in the worldwide community. As a direct consequence of this, India's standing in the eyes of the rest of the world will improve. When it comes to making decisions about their finances, this would encourage customers to consider factors other than risk and reward. In the study titled "Business Responsibility and Sustainability Reporting," the authors explore five emerging organizations within the Indian financial sector and their approaches to corporate responsibility and sustainability reporting. Bajaj Finance Limited, IIFL Wealth Management Limited, Indiabulls Housing Finance Limited, Home First Finance Company India Limited, and Nahar Capital and Financial Services Limited are all represented in our investigation into the annual reports that each company prepares for this research, all of which are examined in considerable detail. The results of this study show that sustainable finance has become more prevalent throughout all India's financial sector. Additionally, the study highlights key policy changes and reforms that need to be done in the region to improve growing financial markets in the long term. This is done, in particular, to increase the area's attractiveness to potential investors. These adjustments and alterations to the system are emphasized in the study. The aforementioned changes and revisions are given great weight in the research.

References

Allen, F., Carletti, E., & Marquez, R. (2014, March 21). Stakeholder Governance, Competition, and Firm Value*. Review of Finance, 19(3), 1315–1346. https://doi.org/10.1093/rof/rfu011 DOI: https://doi.org/10.1093/rof/rfu011

Allen, F., Carletti, E., & Marquez, R. S. (2009). Stakeholder Capitalism, Corporate Governance and Firm Value. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.968141 DOI: https://doi.org/10.2139/ssrn.968141

Andersson, E., & Wilhelm, K. (2015, August 15). Sustainable Finance. In How Social and Environmental Issues Are Impacting and Affecting Traditional Finance and Leading to New Forms of Socially Respons.

Barber, B. M., Morse, A., & Yasuda, A. (2021, January). Impact investing. Journal of Financial Economics, 139(1), 162–185. https://doi.org/10.1016/j.jfineco.2020.07.008 DOI: https://doi.org/10.1016/j.jfineco.2020.07.008

Barko, T., Cremers, M., & Renneboog, L. (2021, July 20). Shareholder Engagement on Environmental, Social, and Governance Performance. Journal of Business Ethics, 180(2), 777–812. https://doi.org/10.1007/s10551-021-04850-z DOI: https://doi.org/10.1007/s10551-021-04850-z

Bauer, R., Ruof, T., & Smeets, P. (2021, April 19). Get Real! Individuals Prefer More Sustainable Investments. The Review of Financial Studies, 34(8), 3976–4043. https://doi.org/10.1093/rfs/hhab037 DOI: https://doi.org/10.1093/rfs/hhab037

Bolton, P., & Kacperczyk, M. T. (2020). Carbon Premium around the World. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.3550233 DOI: https://doi.org/10.2139/ssrn.3550233

Bradley, B. (2021, April 6). ESG Investing for Dummies. For Dummies.

Brunen, A. C., & Laubach, O. (2021). Do Sustainability-Conscious Individuals Prefer Socially Responsible Investments? A Study Among the Users of Robo Advice. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.3778610 DOI: https://doi.org/10.2139/ssrn.3778610

Burchi, A., & Włodarczyk, B. (2020, April 22). ‘Best in class’ socially responsible investment. The actual performance evaluation between the US and Europe. Journal of Sustainable Finance & Investment, 12(2), 275–298. https://doi.org/10.1080/20430795.2020.1742012 DOI: https://doi.org/10.1080/20430795.2020.1742012

Business Responsibility & Sustainability Report, 2021-22, Bajaj Finance Limited, https://archives.nseindia.com/corporate/BR_BAJFINANCE_2021_2022_20220800056.pdf

Business Responsibility & Sustainability Report, 2021-22, Home First Finance Company India Limited, https://archives.nseindia.com/corporate/BR_HOMEFIRST_2021_2022_20220900042.pdf

Business Responsibility & Sustainability Report, 2021-22, IIFL Wealth Management Limited, https://archives.nseindia.com/corporate/BR_IIFLWAM_2022_2023_20221100002.pdf

Business Responsibility & Sustainability Report, 2021-22, Indiabulls Housing Finance Limited, https://archives.nseindia.com/corporate/BR_IBULHSGFIN_2021_2022_20221200001.pdf

Business Responsibility & Sustainability Report, 2021-22, Nahar Capital and Financial Services Limited, https://archives.nseindia.com/corporate/BR_NAHARCAP_2021_2022_20220800049.pdf

Cato, M. S. (2021, December 18). Sustainable Finance. In Using the Power of Money to Change the World. Palgrave Macmillan. https://doi.org/10.1007/978-3-030-91578-0 DOI: https://doi.org/10.1007/978-3-030-91578-0

Chen, X., Higgins, E., Xia, H., & Zou, H. (2019, June 27). Do Financial Regulations Shape the Functioning of Financial Institutions’ Risk Management in Asset-Backed Securities Investment? The Review of Financial Studies, 33(6), 2506–2553. https://doi.org/10.1093/rfs/hhz067 DOI: https://doi.org/10.1093/rfs/hhz067

Chen, Y. C., Hung, M., & Wang, Y. (2018, February). The effect of mandatory CSR disclosure on firm profitability and social externalities: Evidence from China. Journal of Accounting and Economics, 65(1), 169–190. https://doi.org/10.1016/j.jacceco.2017.11.009 DOI: https://doi.org/10.1016/j.jacceco.2017.11.009

Choi, D., Gao, Z., & Jiang, W. (2020). Global Carbon Divestment and Firms’ Actions. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.3589952 DOI: https://doi.org/10.2139/ssrn.3589952

Christensen, H. B., Hail, L., & Leuz, C. (2019). Adoption of CSR and Sustainability Reporting Standards: Economic Analysis and Review. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.3427748 DOI: https://doi.org/10.2139/ssrn.3427748

Cronin, J. (2011, March 31). A Review of “Investing in a Sustainable World.” Journal of Business & Finance Librarianship, 16(2), 182–183. https://doi.org/10.1080/08963568.2011.554504

Cronin, J. (2011, March 31). A Review of “Investing in a Sustainable World.” Journal of Business & Finance Librarianship, 16(2), 182–183. https://doi.org/10.1080/08963568.2011.554504 DOI: https://doi.org/10.1080/08963568.2011.554504

Cva, K. (2017). https://www.medwinpublishers.com/JOBD/JOBD16000139.pdf. Journal of Orthopedics & Bone Disorders, 1(7). https://doi.org/10.23880/jobd-16000139 DOI: https://doi.org/10.23880/JOBD-16000139

Dhaliwal, D., Li, O. Z., Tsang, A., & Yang, Y. G. (2014, July). Corporate social responsibility disclosure and the cost of equity capital: The roles of stakeholder orientation and financial transparency. Journal of Accounting and Public Policy, 33(4), 328–355. https://doi.org/10.1016/j.jaccpubpol.2014.04.006 DOI: https://doi.org/10.1016/j.jaccpubpol.2014.04.006

Flammer, C. (2021, November). Corporate green bonds. Journal of Financial Economics, 142(2), 499–516. https://doi.org/10.1016/j.jfineco.2021.01.010 DOI: https://doi.org/10.1016/j.jfineco.2021.01.010

Franco, C. D., Nicolle, J., & Tran, L. A. (2021, April 22). Sustainable Investing: ESG versus SDG. The Journal of Impact and ESG Investing, jesg.2021.1.019. https://doi.org/10.3905/jesg.2021.1.019 DOI: https://doi.org/10.3905/jesg.2021.1.019

Gratcheva, E. M., Emery, T. L., & Wang, D. (2021). Demystifying Sovereign ESG. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.3854177 DOI: https://doi.org/10.2139/ssrn.3854177

Hebb, T. (2013, April). Impact investing and responsible investing: what does it mean? Journal of Sustainable Finance & Investment, 3(2), 71–74. https://doi.org/10.1080/20430795.2013.776255 DOI: https://doi.org/10.1080/20430795.2013.776255

Igan, D., Kirti, D., & Elmalt, D. (2021). Limits to Private Climate Change Mitigation. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.4026287 DOI: https://doi.org/10.2139/ssrn.4026287

Igan, D., Kirti, D., & Elmalt, D. (2021, April). Limits to Private Climate Change Mitigation. IMF Working Papers, 2021(112), 1. https://doi.org/10.5089/9781513582504.001 DOI: https://doi.org/10.5089/9781513582504.001

Koo, H. K. (2021, September 30). ESG Investing. Global Financial Review, 2(2), 7–26. https://doi.org/10.51265/gfr.2021.2.2.7 DOI: https://doi.org/10.51265/GFR.2021.2.2.7

Martellini, L., & Vallée, L. S. (2021, August 24). Measuring and Managing ESG Risks in Sovereign Bond Portfolios and Implications for Sovereign Debt Investing. The Journal of Portfolio Management, 47(9), 198–223. https://doi.org/10.3905/jpm.2021.1.290 DOI: https://doi.org/10.3905/jpm.2021.1.290

Munro, A. (2020, September). Comment on “Green Innovation and Finance in Asia.” Asian Economic Policy Review, 16(1), 88–89. https://doi.org/10.1111/aepr.12325 DOI: https://doi.org/10.1111/aepr.12325

Pandey, A., Kiran, R., & Sharma, R. K. (2022, September 5). Investigating the Impact of Financial Inclusion Drivers, Financial Literacy and Financial Initiatives in Fostering Sustainable Growth in North India. Sustainability, 14(17), 11061. https://doi.org/10.3390/su141711061 DOI: https://doi.org/10.3390/su141711061

Pastor, L., Stambaugh, R. F., & Taylor, L. A. (2020). Sustainable Investing in Equilibrium. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.3559432 DOI: https://doi.org/10.2139/ssrn.3559432

Riedl, A., & Smeets, P. (2017, September 14). Why Do Investors Hold Socially Responsible Mutual Funds? The Journal of Finance, 72(6), 2505–2550. https://doi.org/10.1111/jofi.12547 DOI: https://doi.org/10.1111/jofi.12547

Shah, A. A., & Dar, A. B. (2021, December). Exploring diversification opportunities across commodities and financial markets: Evidence from time-frequency based spillovers. Resources Policy, 74, 102317. https://doi.org/10.1016/j.resourpol.2021.102317 DOI: https://doi.org/10.1016/j.resourpol.2021.102317

Tolliver, C., Fujii, H., Keeley, A. R., & Managi, S. (2020, August 5). Green Innovation and Finance in Asia. Asian Economic Policy Review, 16(1), 67–87. https://doi.org/10.1111/aepr.12320 DOI: https://doi.org/10.1111/aepr.12320

Zerbib, O. D. (2019, January). The effect of pro-environmental preferences on bond prices: Evidence from green bonds. Journal of Banking & Finance, 98, 39–60. https://doi.org/10.1016/j.jbankfin.2018.10.012 DOI: https://doi.org/10.1016/j.jbankfin.2018.10.012