EFFECT OF CORPORATE SOCIAL RESPONSIBILITY (CSR) DISCLOSURE ON FINANCIAL PERFORMANCE OF LISTED BANKS IN NIGERIA.

The study investigated the impact of Corporate Social Responsibility (CSR) disclosure and financial performance of listed Deposit Money Banks in Nigeria. The study adopted ex-post facto research design. The population of the study was the fifteen DMBs listed on the floor of Nigerian Exchange Group of which thirteen (13) were sampled out using scientific sampling technique. Panel data collected from sampled insurance firms were sourced from their annual report from 2009 to 2023. The CSR such as financial inclusion and economic empowerment, educational and health initiatives, environmental sustainability; social infrastructure development represent the CSR disclosure in this study. Multiple regressions analysis was employed. The first model adopts pooled OLS while the second model employs OLS to ascertain the impact. The study found financial inclusion and economic empowerment, educational and health initiatives, environmental sustainability; social infrastructure development had an insignificant on net interest margin (NIM) and financial performance proxied by Tobin’s Q except for financial inclusion and economic empowerment that had significant impact on financial performance proxy by Tobin Q. From the cumulative regression analysis, the study concluded that Corporate Social Responsibility (CSR) Disclosure have insignificant impact on financial performance of listed deposit money banks in Nigeria. The study recommended that Nigerian DMBs should not consider this corporate social responsibility as benchmark in embarking on sound financial performance. The diverse interests held in a firm by owners should be taken into consideration in mitigating agency problems between managers and customers.