Volume 18, No. 1, 2021

The Impact Of Corporate Governance On Environmental Performance Of Public Listed Companies In Malaysia: A Robust Standard Error Approach

Heshw Rebwar Ali , Aram Jawhar Mohammad , Farhad Rafaat Ali Al-Kake , Muhammad Atif Nawaz , Sajjad Hussain


Environmental degradation has become a worldwide issue due to the high carbon emission and wastage from the industry sector that needs to be examined frequently. Thus, the present research investigates the corporate governance (board size, inside directors, institutional ownership, and managerial ownership)role to improve the environmental performance in public listed companies in Malaysia. This study has selected the top twenty public listed companies and gathered the data from the financial statement and financial reports from 2008 to 2019. This research has executed the robust standard error to test the nexus among variables. The results revealed that inside directors, institutional ownership, and managerial ownership have negative while board size has a positive association with environmental performance. This study has guided the regulators while formulating regulations related to corporate governance and environmental performance. There should much need for effective policies that change the corporate governance intentions towards environmental performance.

Pages: 605-623

Keywords: Corporate governance, Environmental performance, Board size, Institutional ownership

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