Green credit and bank risk: Does corporate social responsibility matter?

This article examines the impact of green credit on bank risk and the moderating role of corporate social responsibility (CSR) on it, based on data from 35 listed banks in China from 2010 to 2021. The results show that the development of green credit significantly reduces banks' overall risk. Moreover, the impact of green credit on bank risk was heterogeneous, with a significant positive effect on large banks, state-owned banks and high-margin banks. CSR had a positive moderating effect between green credit and bank risk. This paper provides new insights into the relationship between green credit and bank risk.