The Impact Of Corporate Social Responsibility Of Listed Companies On Debt Financing Cost

In recent years,the socialist market economic system gradually improved,listed companies as a social economic organization,it is necessary to return on investment shareholders,safeguard the interests of investors,but also need to fulfill more social responsibility.With the increasing social concern of corporate social responsibility,external investors are no longer confined to the financial situation of listed companies,more concerned about the implementation of corporate social responsibility of listed companies.One of the main channels for external financing of listed companies is debt financing,how to raise funds at a lower cost to the development of listed companies and improve the competitiveness of enterprises have a very important significance.At present,the government has implemented a number of policies related to debt financing of listed companies,these policies on the listed company loans have more stringent requirements,such as "green credit" policy.Banks in the provision of loans should be fully considered the implementation of corporate social responsibility of listed companies.March 2016 "thirteen five" plan put forward the "green finance"concept,clearly pointed out that financial institutions should be more focused on energy-saving environmental protection enterprises,in addition,the Government has also put forward the green bond subsidy policy,green loan discount policy,Green enterprise guarantee mechanism,etc.,and then gradually reduce the cost of green loans listed companies.In order to avoid the expansion of credit and reduce the proportion of bad debts,banks and other financial institutions should lend money to enterprises with good reputation and high social responsibility.Therefore,the listed companies that bear more social responsibility will be more favored by financial institutions such as banks.The cost of debt financing is reduced.This paper chooses all the companies that publish corporate social responsibility report in Shanghai and Shenzhen A shares from 2011 to 2015 as the initial sample,using descriptive statistics,correlation analysis and multiple regression method to analyze the impact of corporate social responsibility on debt financing cost of listed companies.conclusion as below:There is a significant negative correlation between corporate social responsibility and debt financing cost of listed companies,that is,the higher the corporate social responsibility of listed companies,the higher the reputation of the company,the better the company's image and the trust of the creditors,Thereby reducing debt financing costs.The sample is further divided into large-scale enterprises and small-scale enterprises were regression,the study found a good corporate social responsibility for debt financing costs of the negative correlation,in the small-scale enterprises more obvious.Small-scale listed companies in the face of negative events,because of its small amount of information,scarce resources,more vulnerable to negative events,resulting in greater business risk.Under the same conditions,large-scale listed companies because of its rich resources,the ability to cope with risk,will bear a smaller business risk.Thus,the impact of good corporate social responsibility on debt financing costs is more pronounced in small-scale firms.The division of the sample into state-owned enterprises and non-state enterprises to return to the discovery of corporate social responsibility on the role of debt financing costs in state-owned enterprises and non-state enterprises in the effect of the difference is not obvious.Often,non-state-owned enterprises face more stringent financing conditions,and when non-state enterprises fulfill corporate social responsibility and achieve higher social reputation,their debt financing costs will be reduced.Although the state-owned enterprises exist relatively low commercial risk,it is easier to obtain debt financing,but state-owned enterprises are not so do not attach importance to corporate social responsibility,on the contrary,in the context of China's characteristics of the socialist system,state-owned enterprises because of its own state-Will establish a relatively perfect corporate social responsibility system,develop a social responsibility strategy,play a leading role in corporate social responsibility,state-owned enterprises will also enhance corporate social responsibility to reduce corporate debt financing costs.Therefore,the impact of corporate social responsibility on debt financing costs has no significant difference between state-owned enterprises and non-state enterprises.In order to solve the research conclusion,this paper puts forward the following policy suggestions:pay attention to corporate social responsibility,publish corporate social responsibility report in time;establish and promote green credit operation mechanism;perfect policies related to corporate social responsibility,strengthen social responsibility,Supervision.