JOURNAL ARTICLE

Economic Policy Uncertainty and Corporate Dividend: Does the Presence of Government Shareholders Play a Role?

  • Published In: Journal of Emerging Market Finance, 2025, v. 24, n. 2. P. 218 1 of 3

  • Database: Business Source Ultimate 2 of 3

  • Authored By: Tran, Ly Thi Hai; Bao, Ho Hoang Gia 3 of 3

Abstract

This article investigates the impact of Economic Policy Uncertainty (EPU) on the dividend policies of Vietnamese listed firms, with a focus on how government ownership moderates this relationship. Using data from 2010 to 2021 and various regression methods, the study finds that higher EPU leads firms to increase dividend payouts, consistent with the agency-problem motive. However, the presence of government shareholders weakens this positive effect, as state-owned firms tend to reduce dividends under increased uncertainty to finance higher capital expenditures rather than for cash hoarding, debt reduction, inventory expansion, or due to declining profitability. These findings highlight the distinctive role of government ownership in shaping corporate dividend decisions in Vietnam’s socialist-oriented market economy during uncertain economic policy periods.

Additional Information

  • Source:Journal of Emerging Market Finance. 2025/06, Vol. 24, Issue 2, p218
  • Document Type:Article
  • Subject Area:Business and Management
  • Publication Date:2025
  • ISSN:0972-6527
  • DOI:10.1177/09726527241307345
  • Accession Number:185488142
  • Copyright Statement:Copyright of Journal of Emerging Market Finance is the property of Sage Publications Inc. and its content may not be copied or emailed to multiple sites without the copyright holder's express written permission. Additionally, content may not be used with any artificial intelligence tools or machine learning technologies. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

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