A New Study Sheds Light on the Role of Responsible Banks
A recent international study published in Finance Research Letters highlights the role that banks committed to Corporate Social Responsibility (CSR) can play in reducing corruption. This research, co-authored by Jonathan Peillex, Associate Professor at ICD Business School and affiliated researcher at LEFMI, stems from an emerging scientific collaboration between the two institutions.
High-Impact Academic Research
This study represents a significant advance in understanding the relationship between banking governance and institutional integrity. Published in a recognized international journal, it reflects the quality of the work conducted by Jonathan Peillex, Associate Professor at ICD Business School. Holding a PhD and an HDR, his research focuses on business ethics, CSR, and finance, with numerous publications in leading academic journals.
This new contribution further strengthens the collaboration between ICD Business School and the Laboratoire d’Économie, Finance & Management de l’Innovation (LEFMI), opening promising pathways for future research projects with societal impact.
An Analysis of 1,173 Banks in 40 Countries Over Nearly 20 Years
The study is based on a unique dataset: 1,173 publicly listed banks across 40 countries, observed between 2002 and 2021. The empirical results highlight a key finding: banks with stronger CSR commitments tend to operate in environments where national corruption levels are significantly lower.
This conclusion is supported by a rigorous analytical methodology and underscores the potential role of the banking sector in improving institutional and economic environments.
Mechanisms Linking Banking CSR and Lower Corruption Levels
The study identifies several complementary mechanisms that help reduce illicit behaviour within national economies:
- Stronger regulatory compliance, limiting opportunistic risk-taking.
- Enhanced stakeholder protection, supported by governance that pays closer attention to clients, employees, and investors.
- Greater diversity within leadership bodies, particularly gender diversity, associated with stronger ethical practices.
- Increased transparency, facilitating external oversight and the detection of non-compliant behaviours.
These findings open concrete avenues for supervisory authorities, including integrating CSR criteria into banking regulations and encouraging greater transparency across financial institutions.
Direct Benefits for Our Students and Teaching Approach
This research directly enriches the educational experience offered to students at ICD Business School. By integrating recent academic work rooted in contemporary societal challenges, the school strengthens the quality of its teaching and nurtures students’ critical thinking skills. Insights on CSR, governance, and anti-corruption efforts feed into course content and case studies, enabling students to better understand the ethical and regulatory dynamics shaping the financial sector. These results also offer new professional perspectives by illustrating how banks can actively contribute to economic transformation.
Towards Responsible Finance Serving Society
This study demonstrates that CSR is not merely a voluntary framework but a key factor in strengthening institutional integrity. By contributing to lower corruption levels, banks engaged in CSR initiatives play an active role in promoting economic stability and public trust. ICD Business School warmly congratulates Jonathan Peillex for this publication and for his commitment to developing impactful academic partnerships.
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