Corporate governance reforms and risk disclosure quality: evidence from an emerging economy

Ammar Gull (), Ammar Abid, Khaled Hussainey (), Tanveer Ahsan and Abdul Haque

Journal of Accounting in Emerging Economies, 2022, vol. 13, issue 2, 331-354

Abstract: Purpose - The purpose of this paper is to examine the impact of corporate governance (hereafter, CG) reforms on the risk disclosure quality in an emerging economy, namely Pakistan. The authors also investigate the impact of CG reforms on the relationship between CG practices and risk disclosure quality. Design/methodology/approach - The authors use a manual content analysis method to a sample of non-financial companies listed on the PSX-100 index for 2009–2015, to examine the impact of CG reforms on risk disclosure quality. The authors use pooled ordinary least squares and the system GMM estimations to test the research hypotheses. Findings - The authors find that CG reforms have a positive impact on risk disclosure quality. The results indicate that certain CG practices such as CEO duality and board independence are associated with risk disclosure quality. Interestingly, the findings also highlight the effectiveness of CG reforms by showing that the revised code positively moderates the CG practices and risk disclosure relationship. Practical implications - The findings of the study have policy implications for regulatory bodies of emerging economies trying to strengthen the CG structures and to introduce risk disclosure regulations to cater the information need of stakeholders. Originality/value - The authors provide new empirical evidence for the impact of CG reforms on risk disclosure quality using a unique setting of an emerging economy, namely Pakistan.

Keywords: Corporate governance; Corporate governance (CG) reforms; Risk disclosure quality; Pakistan (search for similar items in EconPapers)
Date: 2022
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.emerald.com/insight/content/doi/10.110 ... d&utm_campaign=repec (text/html)
https://www.emerald.com/insight/content/doi/10.110 ... d&utm_campaign=repec (application/pdf)
Access to full text is restricted to subscribers

Related works:
Working Paper: Corporate governance reforms and risk disclosure quality: evidence from an emerging economy (2022)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eme:jaeepp:jaee-11-2021-0378

DOI: 10.1108/JAEE-11-2021-0378

Access Statistics for this article

Journal of Accounting in Emerging Economies is currently edited by Dr Shahzad Uddin

More articles in Journal of Accounting in Emerging Economies from Emerald Group Publishing Limited
Bibliographic data for series maintained by Emerald Support ().