APPRAISAL OF THE EFFECT OF CORPORATE SOCIAL RESPONSIBILITY ON PERFORMANCE OF DEPOSIT MONEY BANKS (DMBs) IN NIGERIA
Authors:
Azubuike, J.u.b (PhD) Mkpuoto Idiongette Innocent Osuji, Chijioke Osuji Innocent Bassey, Francis Aniefiok
Abstract:
This study examined corporate social responsibility and performance of money deposit banks in Nigeria. The importance of corporate social responsibility among money deposit banks has waned in recent time with their ultimate goals focused on profit and wealth maximization. This makes it imperative to conduct this study. A sampled 10 money deposit banks were used and expost facto research design was adopted. Data on corporate social responsibility expenditure, profit after tax was gathered from the financial statements of the money deposit banks for 11 years (2007-2017). Panel unit root test, Kao Cointegration analysis and multiple regression random effects technique was used. Findings revealed that corporate social responsibility has a direct and significant effect on profit after tax of money deposit banks. Also increased expenditure on corporate social responsibility positively influences profitability of commercial banks in the long run. The study recommends increased spending on corporate social responsibility by the commercial banks and also the channeling of the CSR efforts to empowerment and training.