The impact of board diversity on corporate social responsibility disclosure in Jordan: the moderating role of political connection

Purpose This paper aims to explore how diverse boards influence corporate social responsibility (CSR) initiatives and whether this relationship is moderated by the presence of politically connected board members. Design/methodology/approach Year-fixed effect regression analysis examines the relationship between board diversity, CSR disclosure and the moderating effect of political connections (PC). Board diversity is measured using two indices: intra-board diversity (IDiB) and inter-board diversity (IDoB), capturing demographic and governance differences within and across firms. Findings The results show that IDiB positively influences CSR disclosure. Conversely, IDoB negatively impacts CSR disclosure. Notably, politically connected board members were found to play a dual role: they stabilize fragmented governance by mitigating the negative effects of IDoB but disrupt governance by weakening the positive effects of IDiB on CSR disclosure. This duality highlights the complex role of political connections in shaping corporate governance practices in Jordan. Originality/value This study contributes to the literature by using novel IDiB and IDoB indices to examine board diversity’s distinct effects on CSR disclosure in Jordan. It highlights the dual role of politically connected board members as stabilizers and disruptors, challenging monolithic views. In addition, it explores the moderating role of political connections in board dynamics through elite theory, advancing corporate governance and CSR research.