The effect of corporate social responsibility on financial performance of GCB Bank

Abstract

The aim of the study was to determine the impact of corporate social responsibility on the financial performance of GCB Bank using data from 2009 - 2019. Data were sourced from the annual financial statements and reports of GCB Bank. Data were analyzed using statistical package for social sciences version 20. By using the OLS methodology, the results found that CSR does have a positive impact on the financial performance of GCB Bank, thereby demonstrating that it pays to be socially responsible. This study established significant positive relationship between corporate social responsibility and financial performance of GCB Bank. It is therefore imperative for GCB to pay adequate attention to their corporate responsibilities. GCB should not treat CSR as an optional activity rather CSR should be integrated with the bank’s long-term business operations to drive up profitability.