ESG and green accounting: Drivers of enterprise value growth in the context of sustainability in Vietnam

Abstract

This research examines the effect of ESG and Green Accounting on the corporate value of listed companies in the Vietnamese stock market. It provides empirical evidence relevant to developing countries, specifically Vietnam, and enhances existing models by incorporating macroeconomic variables. The research utilizes a quantitative approach, analyzing secondary data from 26 listed companies over five years, from 2019 to 2023. The findings indicate that the implementation of Green Accounting and improvements in ESG indicators significantly influence the enterprise value (EV) of publicly listed companies in Vietnam. Furthermore, the study demonstrates that adopting Green Accounting and ESG has a significant positive impact on enhancing EV. The research also emphasizes the importance of investing in ESG development and green accounting to attract investors and stakeholders, particularly in economies like Vietnam where sustainable development is a top priority. Overall, the results of this finding highlight the significance of Green Accounting and ESG for the corporate value of publicly listed companies in Vietnam. These insights are expected to positively impact stakeholders' interests and inform policies regarding the financial information required by these parties