Abstract:
This paper aims to measure the relationship between Corporate Social Responsibility
(CSR), Corporate Governance (CG), and profitability in listed Egyptian banks.
COVID-19 is expected to affect this relationship if the year 2020 is taken. Profitability
is measured by earnings per share (EPS), return on equity (ROE), and return on as-
sets (ROA). CSR is measured as a dummy variable and CG is measured by the chief
executive officer (CEO) duality. There are three control variables, such as the Islamic
variable, which classifies a bank into Islamic or conventional, bank age, and bank size.
The paper uses multiple regression and logistic regression models. The final sample
is 12 banks consisting of 9 conventional banks and 3 Islamic banks (IBS). The results
show no impact of profitability on CSR. The results prove a significant positive impact
of profitability on CG; there is a significant negative relationship between CEO duality
and EPS at a 0.05 level. CSR has a significant impact on CG at a 0.001 level. The results
show a clear impact of COVID-19 on the impact of CSR on profitability only when
measured by ROA at 0.001 in the period 2014–2019.
