It is increasingly obvious the huge improvement caused in loss of habitat and degradation in environment. Various nations are prone to natural disasters if this issue is not addressed. The development of finance has been hailed as significant in alleviating environmental concerns due to its part as a source of cash for the development of green technology. The primary goal of this research is to satisfy an acquaintance vacuum by investigating the relationship amongst economic growth and ESG (Environmental, Social and Governance) concert throughout Asia. This analysis made use of country-level data from 2010 to 2015. Economic growth is positively connected to ESG routine, due to examination upon the pooled normal least squares method, the immovable impact logistic method, these two-phase least squares technique, and the structure’s generalised approach of moments estimator. Additionally, additional tests including financial sector growth subcomponents (financial platforms and financial institutions) reveal that the conclusion is consistent and resilient under multiple model settings. Financial development, when combined, is an essential catalyst for promoting ESG performance in Asia.

Ahmad, H., Yaqub, M., Lee, S. H. (2023). Environmental-, social-, and governance-related factors for business investment and sustainability: a scientometric review of global trends. Environ Dev Sustain. https://doi.org/10.1007/s10668-023-02921-x

Aldowaish, A., Kokuryo, J., Almazyad, O., et al. (2022). Environmental, social, and governance integration into the business model: literature review and research agenda. Sustain, 14. https://doi.org/10.3390/su14052959

Arora, A., Sharma, D. (2022). Do Environmental, Social and Governance (ESG) Performance Scores Reduce the Cost of Debt? Evidence from Indian firms. Australas Account Bus Financ J., 16, 4–18. https://doi.org/10.14453/aabfj.v16i5.02

Barbosa, A., S., Bueno da Silva, L., Morioka, S. N., et al. (2023). Integrated management systems and organizational performance: a multidimensional perspective. Total Qual Manag Bus Excell, 1–39. https://doi.org/10.1080/14783363.2023.2181153

Busch, T., Bauer, R., & Orlitzky, M. (2016). Sustainable development and financial markets: Old paths and new avenues. Business and Society, 55(3), 303–329. https://doi.org/10.1177/0007650315570701

Busco, C., Frigo, M. L., Quattrone, P., et al. (2013). Towards integrated reporting: Concepts, Elements and Principles. In: Integrated Reporting: Concepts and Cases that Redefine Corporate Accountability. Cham: Springer International Publishing. pp. 3–18. https://doi.org/10.1007/978-3-319-02168-3

Cabedo, J. David, & Tirado, J. M. (2004). The disclosure of risk in financial statements. Accounting Forum, 28, 181–200. https://doi.org/10.1016/j.accfor.2003.10.002

de Souza Barbosa, A., da Silva, M. C. B. C., da Silva, L. B. et al. (2023). Integration of Environmental, Social, and Governance (ESG) criteria: their impacts on corporate sustainability performance. Humanit Soc Sci Commun, 10, 410. https://doi.org/10.1057/s41599-023-01919-0

Fase, M. M., & Abma, R. C. N. (2003). Financial environment and economic growth in selected Asian countries. Journal of Asian Economics, 14(1), 11–21.

Galbreath, J. (2009). Building corporate social responsibility into strategy. European business review, 21(2), 109–127. https://doi.org/10.1108/09555340910940123

Helfaya, A., Bui, P. (2022). Exploring the Status Quo of Adopting the 17 UN SDGs in a Developing Country—Evidence from Vietnam. Sustainability, 14, 15358. https://doi.org/10.3390/su142215358

Hewston, R. (2018). Commentary: Rising temperatures will make Southeast Asian economies sweat. Channel News Asia.

Ioannis, I., Serafeim, G. (2012). What Drives Corporate Social Performance? The Role of Nation-Level Institutions. J. Int. Bus. Stud., 43, 834–864. https://doi.org/10.1057/jibs.2012.26

Kell, G. (2018). The remarkable rise of ESG. Forbes.

Levine, R. (2005). Finance and growth: Theory and evidence, 1st ed. In: Aghion, P., & Durlauf, S. (editors). Handbook of Economic Growth. pp. 865–934.

Liao, L., Luo, L., Tang, Q. (2015). Gender Diversity, Board Independence, Environmental Committee and Greenhouse Gas Disclosure. Br. Account. Rev., 47, 409–424. https://doi.org/10.1016/j.bar.2014.01.002

Limkriangkrai, M., Koh, S., & Durand, R. B. (2017). Environmental, social, and governance (ESG) profiles, stock returns, and financial policy: Australian evidence. International Review of Finance, 17(3), 461–471. https://doi.org/10.1111/irfi.12101

Moussa, T. (2017). Do Board’s Corporate Social Responsibility Strategy and Orientation Influence Environmental Sustainability Disclosure? UK Evidence. Bus. Strategy Environ, 26, 1061–1077. https://doi.org/10.1002/bse.1960

Moussa, T., Kotb, A., Helfaya, A. (2021). An Empirical Investigation of U.K. Environmental Targets Disclosure: The Role of Environmental Governance and Performance. Eur. Account. Rev., 31, 937–971. https://doi.org/10.1080/09638180.2021.1890173

Muñoz-Torres, M. J., Fernández-Izquierdo, M. Á., Rivera-Lirio, J. M., et al. Can Environmental, Social, and Governance Rating Agencies Favor Business Models That Promote a More Sustainable Development? Corp. Soc. Responsib. Environ. Manag., 2019, 26, 439–452. https://doi.org/10.1002/csr.1695

Pasquini-Descomps, H., Brender, N., & Maradan, D. (2017). Value for money in H1N1 influenza: a systematic review of the cost-effectiveness of pandemic interventions. Value in Health, 20(6), 819–827. https://doi.org/10.1016/j.jval.2016.05.005

Raimo, N., Caragnano, A., Zito, M., Vitolla, F., et al. Extending the Benefits of ESG Disclosure: The Effect on the Cost of Debt Financing. Corp. Soc. Responsib. Environ. Manag., 2021, 28, 1412–1421. https://doi.org/10.1002/csr.2134

Sahay, R., Čihák, M., N’Diaye P., et al. (2015). Rethinking fnancial deepening: Stability and growth in emerging markets (International Monetary Fund working paper no. SDN/15/08).

Semenova, N., HaSSel, L. G., & Nilsson, H. (2010). The Value Relevance of Environmental and Social Performance: Evidence from Swedish SIX 300 Companies. Liiketaloudellinen Aikakauskirja, (3).

Sengupta, S., & Popovich, N. (2018). Global warming in South Asia: 800 million at risk. The New York Times.

Shahbaz, M., Shahzad, S. J. H., Ahmad, N., et al. (2016). Financial development and environmental quality: The way forward. Energy Policy, 98, 353–364. https://doi.org/10.1016/j.enpol.2016.09.002

Shaukat, A., Qiu, Y., Trojanowski, G. (2016). Board Attributes, Corporate Social Responsibility Strategy, and Corporate Environmental and Social Performance. J. Bus. Ethics, 2016, 135, 569–585. https://doi.org/10.1007/s10551-014-2460-9

Sultana, S., Zulkifi, N., & Zainal, D. (2018). Environmental, Social and Governance (ESG) and Investment Decision in Bangladesh. Sustainability, 10(6), 1831. https://doi.org/10.3390/su10061831

Tamazian, A., Chousa, J. P., & Vadlamannati, K. C. (2009). Does higher economic and financial development lead to environmental degradation: Evidence from BRIC countries. Energy Policy, 37(1), 246–253. https://doi.org/10.1016/j.enpol.2008.08.025

Tarmuji, I., Maelah, R., Tarmuji, N. H. The Impact of Environmental, Social and Governance Practices (ESG) on Economic Performance: Evidence from ESG Score. Int. J. Trade Econ. Financ., 2016, 7, 67. https://doi.org/10.18178/ijtef.2016.7.3.501

Yuxiang, K., & Chen, Z. (2011). Financial development and environmental performance: Evidence from China. Environment and Development Economics, 16(1), 93–111. https://doi.org/10.1017/s1355770x10000422