AI-Driven Financial Transparency and Corporate Governance: Enhancing Accounting Practices with Evidence from Jordan

Osama Samih Shaban () and Arwa Omoush
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Osama Samih Shaban: Accounting Department, Faculty of Business, Al-Zaytoonah University of Jordan, Amman 11733, Jordan
Arwa Omoush: Accounting Department, Faculty of Business, Al-Zaytoonah University of Jordan, Amman 11733, Jordan

Sustainability, 2025, vol. 17, issue 9, 1-26

Abstract: Integrating artificial intelligence (AI) into financial transparency and corporate governance has reshaped how organizations ensure accountability, regulatory compliance, and risk management. This study examines the impact of AI-driven financial transparency on corporate governance and regulatory reform, focusing on Jordan. Utilizing a stratified random sampling approach, data were collected from 564 corporate professionals across key economic sectors. Statistical analyses, including structural equation modeling (SEM) and multiple regression analysis, reveal that AI adoption significantly enhances corporate governance effectiveness (R 2 = 0.582), improves risk management (R 2 = 0.502), and increases stakeholder engagement (R 2 = 0.681). AI also facilitates regulatory compliance by automating monitoring processes and reducing human errors in financial disclosures. However, challenges such as bias in AI algorithms, data privacy concerns, and the need for regulatory adaptation persist. These findings contribute to the body of knowledge on AI-driven governance and provide insights for policymakers and corporate leaders.

Keywords: artificial intelligence; corporate governance; financial transparency; risk management; regulatory compliance (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2025
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