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Corporate Ownership and Sustainability Reporting: Environmental Agencies' Moderating Effects

Author

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  • Alhassan Haladu

    (Tunku Puteri Intan Safinaz School of Accountancy (TISSA-UUM), College of Business, Universiti Utara, Kedah, Malaysia,)

  • Basariah Bt. Salim

    (Tunku Puteri Intan Safinaz School of Accountancy (TISSA-UUM), College of Business, Universiti Utara, Kedah, Malaysia.)

Abstract

In third world economies like Nigeria, the role of foreign ownership of businesses compared to local ownership on environmental issues has been given very little attention. Foreign investors may assist in the fight against environmental degradation. This research determines the relationship between environmental information disclosure and ownership structure in combination with environmental agencies using the latest version of GRI (G4). The study is a pioneer application of environmental agencies' role in sustainability reporting and considers 81 companies in 6 environmentally sensitive industries of the economy. From a stratified random selected sample of 67 firms, the study tested for the relationship from 2009 to 2014. The outcome showed an inverse and significant relationship between environmental disclosure and ownership structure. This forced the recommendation that local ownership should be encouraged to grow at a faster rate so that a positive impact will be reflected on environmental information disclosure.

Suggested Citation

  • Alhassan Haladu & Basariah Bt. Salim, 2016. "Corporate Ownership and Sustainability Reporting: Environmental Agencies' Moderating Effects," International Journal of Economics and Financial Issues, Econjournals, vol. 6(4), pages 1784-1790.
    • Handle: RePEc:eco:journ1:2016-04-67
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    References listed on IDEAS

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    Cited by:

    1. Saidu Musa & Nusirat Ojuolape Gold & Hope Osayantin Aifuwa, 2020. "Board Diversity and Sustainability Reporting: Evidence from Industrial Goods Firms," Business & Management Compass, University of Economics Varna, issue 4, pages 377-398.
    2. Anna Jessop & Nicole Wilson & Michal Bardecki & Cory Searcy, 2019. "Corporate Environmental Disclosure in India: An Analysis of Multinational and Domestic Agrochemical Corporations," Sustainability, MDPI, vol. 11(18), pages 1-33, September.

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    More about this item

    Keywords

    Corporate Ownership Structure; Environmental Disclosure; Environmental Agencies;
    All these keywords.

    JEL classification:

    • G31 - Financial Economics - - Corporate Finance and Governance - - - Capital Budgeting; Fixed Investment and Inventory Studies
    • H23 - Public Economics - - Taxation, Subsidies, and Revenue - - - Externalities; Redistributive Effects; Environmental Taxes and Subsidies
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

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