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Non-Financial Reporting and Reputational Risk in the Romanian Financial Sector

Author

Listed:
  • Laurentiu Tachiciu

    (University of Economic Studies, Bucharest, Romania)

  • Melinda Timea Fulop

    (Babes-Bolyai University, Cluj-Napoca, Romania)

  • Andreea Marin-Pantelescu

    (University of Economic Studies, Bucharest, Romania)

  • Ionica Oncioiu

    (Titu Maiorescu University, Bucharest, Romania)

  • Dan Ioan Topor

    (“1 Decembrie 1918” University of Alba Iulia, Alba-Iulia, Romania)

Abstract

Good reputation is an important intangible asset for any company, but it can be vital for financial institutions. Today, given that the demands on the business environment in terms of social responsibility have greatly increased, the reputation can be worn not only by serious events, but also by the omission or delay of possible and necessary measures and actions to strengthen the sustainability of the activity. In this context, it turned out that there is a strong connection between reputational risk management and the public disclosure of information on the social and environmental impact of the company's activities. This paper proposes a contribution to the empirical decoding of this inter-conditioning through a two-pronged research: on one hand, it investigates the way in which Romanian banking institutions treat reputational risk management and, on the other hand, it analyzes the content of non-financial reports of some financial institutions in the light of the maturity with which they deal with sustainability. The resulting information suggests that there is a delay in understanding the significance of reputational risk and a decoupling of corporate responsibility policies from the risks associated with the business model.

Suggested Citation

  • Laurentiu Tachiciu & Melinda Timea Fulop & Andreea Marin-Pantelescu & Ionica Oncioiu & Dan Ioan Topor, 2020. "Non-Financial Reporting and Reputational Risk in the Romanian Financial Sector," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 22(55), pages 668-668, August.
    • Handle: RePEc:aes:amfeco:v:22:y:2020:i:55:p:668
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    References listed on IDEAS

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    Cited by:

    1. David Adeabah & Charles Andoh & Simplice Asongu & Albert Gemegah, 2023. "Reputational risks in banks: A review of research themes, frameworks, methods, and future research directions," Journal of Economic Surveys, Wiley Blackwell, vol. 37(2), pages 321-350, April.
    2. Reyes Samaniego-Medina & Pilar Giraldez-Puig, 2022. "Do Sustainability Risks Affect Credit Ratings? Evidence from European Banks," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 24(61), pages 720-720, August.
    3. Victoria Bogdan & Claudia Diana Sabău-Popa & Marcel-Ioan Boloș & Dorina-Nicoleta Popa & Mărioara Beleneși, 2022. "Tracking Waste Management Information Disclosure Behavior Connected to Financial Performance through Moderating Variables," IJERPH, MDPI, vol. 19(20), pages 1-25, October.

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    More about this item

    Keywords

    reputational risk; social responsibility; non-financial reporting; financial sector;
    All these keywords.

    JEL classification:

    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
    • M14 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Corporate Culture; Diversity; Social Responsibility

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