IDEAS home Printed from https://ideas.repec.org/a/eme/jfrapp/jfra-04-2022-0145.html
   My bibliography  Save this article

Impact of mandatory IFRS adoption on foreign direct investment: the moderating role of conflict of interest regulation

Author

Listed:
  • Azzouz Elhamma

Abstract

Purpose - This paper aims to examine the moderating effect of conflict of interest regulation (CIR) on the relationship between mandatory of International Financial Reporting Standards (IFRS) adoption and foreign direct investment (FDI) in the Middle East and North Africa (MENA) region. Design/methodology/approach - The study was conducted based on panel data from 15 MENA countries during the period 2008–2020. Collected data were analyzed by using the generalized method of moments estimation technique. Findings - This study results show that both mandatory of IFRS adoption and CIR do not have a significant effect on FDI inflows in MENA region; however, their interaction has a positive and significant effect on FDI inflows. This implies that more development of CIR enhances the impact that mandatory of IFRS adoption has on FDI inflows. Practical implications - This study results are very useful to policymakers and regulators in the MENA region. The mandatory of IFRS adoption on its own does not improve significantly FDI inflows. The MENA countries should look inwards into more developed CIR that would support IFRS adoption to attract more FDI. Originality/value - To the best of the author’s knowledge, this is the first research study to investigate the moderating effect of CIR on the relationship between mandatory of IFRS adoption and FDI inflows. In addition, the empirical researches on the effect of mandatory of IFRS adoption as issued by the International Accounting Standards Board (IASB) on FDI inflows for MENA countries are almost absent.

Suggested Citation

  • Azzouz Elhamma, 2023. "Impact of mandatory IFRS adoption on foreign direct investment: the moderating role of conflict of interest regulation," Journal of Financial Reporting and Accounting, Emerald Group Publishing Limited, vol. 23(3), pages 936-958, March.
  • Handle: RePEc:eme:jfrapp:jfra-04-2022-0145
    DOI: 10.1108/JFRA-04-2022-0145
    as

    Download full text from publisher

    File URL: https://www.emerald.com/insight/content/doi/10.1108/JFRA-04-2022-0145/full/html?utm_source=repec&utm_medium=feed&utm_campaign=repec
    Download Restriction: Access to full text is restricted to subscribers

    File URL: https://www.emerald.com/insight/content/doi/10.1108/JFRA-04-2022-0145/full/pdf?utm_source=repec&utm_medium=feed&utm_campaign=repec
    Download Restriction: Access to full text is restricted to subscribers

    File URL: https://libkey.io/10.1108/JFRA-04-2022-0145?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eme:jfrapp:jfra-04-2022-0145. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Emerald Support (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.