Digital Transformation as a Structural Driver of ESG Performance: Empirical Evidence from Indian Capital Markets
Radhika Radhika & Meena SHARMA
What the paper says
Digital transformation is increasingly a structural determinant of corporate sustainability strategies in emerging economies. This research investigates the impact of digitalization on Environmental, Social, and Governance (ESG) performance among Indian firms listed on the BSE 500 between 2022 and 2024. Utilizing a novel text-mining approach to quantify digital intensity followed by panel regression analysis, the study explores the mechanisms through which technological adoption enhances corporate accountability. The findings reveal a robust positive correlation between digital transformation and ESG outcomes, with the most significant impact observed within the governance dimension. This suggests that digitalization facilitates financial sustainability by reducing information asymmetry and enhancing regulatory compliance. The study provides critical insights for policymakers and investors in transitional economies regarding the strategic integration of digital reforms to achieve long-term ESG resilience.Copyright© 2026 The Author(s). This article is distributed under the terms of the license CC-BY 4.0., which permits any further distribution in any medium, provided the original work is properly cited.Article’s history: Received 15th of October, 2025; Revised 29th of November, 2025; Accepted 11th of January, 2026; Available online: 15th of March, 2026. Published as article in the Volume XXI, Special Issue 1(91), 2026.
Evidence weight
Balanced mode · F 0.40 / M 0.15 / V 0.05 / R 0.40
| F · citation impact | 0.50 × 0.4 = 0.20 |
| M · momentum | 0.50 × 0.15 = 0.07 |
| V · venue signal | 0.50 × 0.05 = 0.03 |
| R · text relevance † | 0.50 × 0.4 = 0.20 |
† Text relevance is estimated at 0.50 on the detail page — for your query’s actual relevance score, open this paper from a search result.