Corporate social responsibility is a
philanthropic activity that works for the development of underprivileged people in
society. The study examined the factors that are considered as influential
stimuli of CSR expenditures. Prais Winsten regression model is applied
to a sample of 32 commercial banks from the year of 2011 to 2015 with 160
observations. The study revealed that bank size and one year lag of CSR
expenditure positively affect CSR expenditure and are statistically
significant. However, bank default risk, shareholders influence, and bank age
have a negative and significant effect on CSR expenditures of banks. Therefore,
the study's implication is to address the factors properly for the country's
JEL classification numbers: C12, C23.
Keywords: CSR, Quantitative Methods, Panel data, Banks, Bangladesh.