Proceedings of the 10th International Conference on Accounting, Management, and Economics (10th ICAME 2025)

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

Authors
Andi Raina Ananda Herdiyana1, *, Naufal Muhammad Aksah1, Baginda Hamzah1, Audrey Michelle Wenny Yolanda1
1Hasanuddin University, Makassar, Indonesia
*Corresponding author. Email: rainaherdiyana@unhas.ac.id
Corresponding Author
Andi Raina Ananda Herdiyana
Available Online 20 June 2026.
DOI
10.2991/978-94-6239-709-5_52How to use a DOI?
Keywords
CSR maturity; ESG-linked finance readiness; construction contractors; green project pipeline; disclosure alignment
Abstract

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.

Copyright
© 2026 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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Volume Title
Proceedings of the 10th International Conference on Accounting, Management, and Economics (10th ICAME 2025)
Series
Advances in Economics, Business and Management Research
Publication Date
20 June 2026
ISBN
978-94-6239-709-5
ISSN
2352-5428
DOI
10.2991/978-94-6239-709-5_52How to use a DOI?
Copyright
© 2026 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

Cite this article

risenwbib
TY  - CONF
AU  - Andi Raina Ananda Herdiyana
AU  - Naufal Muhammad Aksah
AU  - Baginda Hamzah
AU  - Audrey Michelle Wenny Yolanda
PY  - 2026
DA  - 2026/06/20
TI  - CSR Maturity and ESG-Linked Finance Readiness in Indonesian Construction Contractors
BT  - Proceedings of the 10th International Conference on Accounting, Management, and Economics (10th ICAME 2025)
PB  - Atlantis Press
SP  - 756
EP  - 772
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6239-709-5_52
DO  - 10.2991/978-94-6239-709-5_52
ID  - Herdiyana2026
ER  -