Influence of ESG among Jordanian fintech businesses: the moderating role of sustainable finance technology

Abstract

This study investigates how environmental, social, and governance (ESG) factors affect the financial performance of fintech companies in Jordan, with a focus on sustainable fintech practices. The study employed a survey methodology, distributing questionnaires to employees in the Jordanian fintech sector to gather primary data. The data were analyzed using partial least squares structural equation modeling (PLS-SEM), ensuring methodological rigor through a robust sample size. The findings reveal that ESG factors have a significant positive impact on fintech performance, which is further enhanced by the adoption of sustainable practices. This underscores the critical role of sustainability in fintech operations and provides actionable insights for industry professionals and policymakers aiming to promote responsible growth. The study contributes to the literature by advancing understanding of ESG integration within fintech and laying the groundwork for future research. It highlights the importance of sustainable practices in enhancing financial performance and provides a foundation for exploring how these practices influence fintech operations. Future research should consider the evolving regulatory environment and its impact on ESG integration in fintech. Longitudinal studies could investigate the sustainability-performance relationship over time, revealing trends and obstacles as fintech firms expand. Additionally, comparative studies across different regions or sectors could offer insights into how various factors shape ESG adoption and its effects on financial outcomes. These future directions will improve our understanding of sustainable fintech and support the global development of responsible financial innovations.