Digital Transformation as a Structural Driver of ESG Performance: Empirical Evidence from Indian Capital Markets
Digital Transformation as a Structural Driver of ESG Performance: Empirical Evidence from Indian Capital Markets
Author(s): Meena SHARMA, Radhika RADHIKASubject(s): Economy, National Economy, Micro-Economics, ICT Information and Communications Technologies
Published by: RITHA Publishing
Keywords: digital transformation; ESG; structural reforms; panel data; text mining;
Summary/Abstract: Digital transformation is increasingly a structural determinant of corporate sustainability strategies in emerging economies. This research investigates the impact of digitalization on Environmental, Social, and Governance (ESG) performance among Indian firms listed on the BSE 500 between 2022 and 2024. Utilizing a novel text-mining approach to quantify digital intensity followed by panel regression analysis, the study explores the mechanisms through which technological adoption enhances corporate accountability. The findings reveal a robust positive correlation between digital transformation and ESG outcomes, with the most significant impact observed within the governance dimension. This suggests that digitalization facilitates financial sustainability by reducing information asymmetry and enhancing regulatory compliance. The study provides critical insights for policymakers and investors in transitional economies regarding the strategic integration of digital reforms to achieve long-term ESG resilience.
Journal: Journal of Applied Economic Sciences (JAES)
- Issue Year: XXI/2026
- Issue No: 1(91)SI
- Page Range: 203-215
- Page Count: 13
- Language: English
