The Impact of Cash Flow Fluctuations on the Debt Capital Structure of Listed Companies in the Context of the Covid-19 Pandemic: Evidence from Vietnam

Abstract

This study aims to assess the impact of cash flow fluctuations on corporate debt structure in Vietnam, while considering the moderating role of the COVID-19 pandemic and state ownership. Using panel data of 408 listed non-financial enterprises in the period 2009–2021 and the system GMM method, the results show that CFV has a negative impact on long-term debt, reflecting a flexible debt structure adjustment strategy when financial risks increase. However, during the pandemic, this relationship weakened significantly, indicating that enterprises tend to limit borrowing to protect liquidity. The research results clarify the role of institutional factors and the pandemic context in adjusting corporate financial strategies in emerging economies.