CSR Maturity and ESG-Linked Finance Readiness in Indonesian Construction Contractors

Indonesia’s sustainable-finance push is reshaping credit allocation, yet evidence on how contractors can translate corporate social responsibility (CSR) maturity into financing advantages remains limited. This study investigates whether CSR governance & KPI discipline, a green project pipeline aligned with recognised taxonomies, and disclosure alignment with reporting standards jointly enhance ESG-linked finance readiness. Using primary data from n = 90 contractors via a two-informant matched-pair survey (Finance and CSR/ESG managers), we estimate a PLS-SEM model wherein finance readiness is specified as a second-order composite (Access, Terms, Execution). The model shows good fit (SRMR = 0.058), substantial explanatory power (R2 = 0.62) and predictive relevance (Q2 = 0.41). All hypotheses are supported: governance & KPI (β = 0.33), green pipeline (β = 0.28), and disclosure alignment (β = 0.25) exhibit positive, significant effects. Robustness checks (full-collinearity VIF, blindfolding, permutation) and multi-group analysis suggest stronger governance/disclosure effects for listed firms and relatively larger pipeline effects for non-listed/private firms. The findings integrate signalling and pecking-order perspectives, offering an actionable sequence governance first, pipeline curation second, disclosure assurance third to convert CSR maturity into cheaper, longer-tenor, and more reliable ESG-linked debt.