The impact of board gender diversity on banks' environmental policy: The moderating role of gender inequality in national culture

This study responds to the need for deeper empirical investigations into the relationship between board gender diversity (BGD) and corporate environmental responsibility (CER) within the banking industry. Specifically, it investigates whether and how BGD in banks causes higher engagement in CER. To address this research question, we analyzed a sample of 132 global banks over the 2009-2019 period. The results from fixed effect panel regressions indicated that national gender inequality negatively moderates the positive influence of BGD on the CER engagement of banks. Disentangling CER into its sub-pillars, we found that BGD affects these subdimensions differently. A higher proportion of female directors on the bank's board mainly affects CER in terms of eco-innovation and emission management. These findings are relevant for the efficiency of new banking business models, for policymakers and for the broader spillover benefits to the worldwide community.