The Disclosure And Economic Consequences Of ESG Report In Nonferrous Metals Industry

At this stage,only disclosing the financial index report can not meet the needs of investors and other report users.Sustainable development has gradually attracted extensive attention from all walks of life.Enterprises also begin to consider environmental and social benefits other than economic benefits and take the initiative to disclose the environmental,social and Governance Report(hereinafter referred to as ESG report).By studying the disclosure of ESG report of Zijin Mining in recent years,this thesis analyzes the disclosure status of China’s non-ferrous metal industry,and based on this,provides suggestions on the way and content of ESG information disclosure of listed companies.Firstly,this thesis combs the relevant institutional background at home and abroad,focuses on the disclosure of ESG report in non-ferrous metal industry,and compares it with the same industry.Secondly,Zijin mining,which won the "environmental protection Excellence Award" and "social and economic outstanding contribution award" in 2020,is selected for research.On the one hand,the content of its ESG report is deeply analyzed;On the other hand,the event analysis method is used to explore the impact of the disclosure of ESG report on the short-term market response of Zijin mining,and then analyze the long-term economic consequences of the disclosure report from three aspects: reputation,financing and profitability.Through research and analysis,this thesis draws the following conclusions: first,the disclosure of ESG report in China’s non-ferrous metal industry is still in the primary stage,and there are some problems,such as the small number of enterprises that disclose ESG report and the uneven quality of disclosure.Second,this thesis selects Zijin mining,which has the highest ESG report score,for case analysis.It is found that the report disclosed by Zijin Mining is very comprehensive in terms of environment,society and governance.It has the advantages of various preparation basis and disclosure forms,vertical comparison of data,and hiring an independent third-party organization to review the report.Third,in terms of economic consequences,the ESG report issued by Zijin Mining did not improve the short-term market response of listed companies;However,in the long run,the disclosure report can promote the reputation,financing and profitability of listed companies.In particular,environmental information disclosure significantly improves the financing ability of enterprises and effectively reduces the cost of debt capital.Therefore,this thesis puts forward three suggestions to the standard setting institutions: requiring non-ferrous metal enterprises to hire independent audit institutions to review ESG reports,hierarchical management of the mandatory degree of disclosure of ESG reports,and unifying the preparation basis of ESG reports in non-ferrous metal industry.The contribution of this thesis is mainly reflected in two aspects: first,this thesis can provide incremental evidence for the academic research related to the disclosure of ESG report by non-ferrous metal enterprises through the detailed classification of multiple qualitative items in the ESG report of Zijin Mining and the multidimensional analysis of the short-term and long-term economic consequences caused by the disclosure of ESG report;Second,the case study based on enterprise practice can provide reference for other non-ferrous metal enterprises to improve and improve the content of ESG report,and has reference value for exploring China’s sustainable development report system.