Investigating the relationship between environmental and social disclosures and anti-corruption disclosure: the role of corporate governance. Evidence from France
Purpose This paper aims to examine how environmental and social (E&S) disclosures influence ACD in France, explores the role of corporate governance (board independence, board size and executive directors) and evaluates the impact of the Grenelle II Law, a French regulation promoting corporate sustainability and transparency. Design/methodology/approach The authors analyze 142 French listed firms over 2010–2020 using panel regressions and a 150-keyword content analysis to measure ACD. A Difference-in-differences approach assesses how the Grenelle II Law affected the relationship between E&S disclosures and ACD. Findings Results show a positive association between E&S and ACD: firms more transparent in E&S reporting also disclose more on anti-corruption. Board independence and size further enhance ACD, and the E&S–ACD relationship strengthens following the full implementation of the Grenelle II Law. Practical implications Integrating E&S strategies can increase ACD and stakeholder trust. Strong corporate governance, particularly independent and larger boards, supports transparency, providing guidance for policymakers to align sustainability and anti-corruption practices and helping investors assess firm ethics and governance. Originality/value This study is among the first to investigate how E&S disclosures and governance influence ACD in France, a leading country in sustainability regulation. It highlights the effect of the Grenelle II Law on improving corporate transparency and introduces a novel 150-keyword content analysis tool for ACD.
Authors
- Roua Radhouani
- Aymen Ajina
Institutions
- University of Sousse (TN)
Publication Details
- Journal
- Journal of Financial Regulation and Compliance
- Published
- 2026-03-23
- DOI
- https://doi.org/10.1108/jfrc-06-2025-0189
- Primary Topic
- Corporate Social Responsibility Reporting
- Type
- article
- Field-Weighted Citation Impact
- 0.00