Firm characteristics and the level of IFRS compliance and disclosure in GCC countries Online publication date: Fri, 01-Mar-2024
by Khalil Nimer; Muath Abdel Qader; Tamer K. Darwish
International Journal of Business Governance and Ethics (IJBGE), Vol. 18, No. 2, 2024
Abstract: This study aimed to measure the level of adoption of the disclosure requirements of International Financial Reporting Standards (IFRS) for non-financial listed companies in Gulf Cooperation Council (GCC) markets. We employed a self-constructed disclosure index comprising 379 IFRS mandatory disclosure requirements. A cross-sectional analysis was implemented to test the proposed research hypotheses. We found that the level of compliance varies among GCC countries, with companies operating in the UAE having the highest level of compliance. We also found that leverage and the quality of the external auditor had a significant impact on the level of compliance with IFRS by the targeted companies. Further, our findings demonstrated that companies audited by one of the Big Four audit companies have a high level of IFRS adoption. However, the results did not support the firm size, industry type, profitability and liquidity hypothesis. In this work, the theoretical and practical implications of our results are discussed.
Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Business Governance and Ethics (IJBGE):
Login with your Inderscience username and password:
Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.
If you still need assistance, please email subs@inderscience.com