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https://doi.org/10.1080/1331677X.2022.2120042

The impact of board diversity on financial reporting quality in the GCC listed firms: the role of family and royal directors

Omar Ikbal Tawfik
Faozi A. Almaqtari
Waleed M. Al-ahdal
Abdul Aziz Abdul Rahman
Najib H. S. Farhan


Puni tekst: engleski pdf 2.922 Kb

preuzimanja: 895

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Sažetak

The present study examines the impact of board diversity on financial
reporting quality with special consideration of the extent to
which family and royal directors influence financial reporting quality
(FRQ). The study utilises a sample of 181 listed GCC firms over the
period from 2010 to 2016. Board personal attributes, including board
expertise, age, gender, and nationality are investigated along with
some other board issues such as; board size, meetings, and independence.
Panel data analysis with fixed and random effect models
are conducted to estimate the results. The results reveal that companies
with large board size and greater age have less FRQ. Further, the
results report that institutional founders, higher board independence,
and expertise associate with greater levels of FRQ. The results
also find that board meetings and family founders negatively influence
FRQ. However, female directors, foreign directors, and royal
board members setting in the board did not contribute to the levels
of FRQ in the sampled companies. Finally, the results indicate that
companies with a CEO royal member have higher levels of FRQ however,
companies with chair board royals have less levels of FRQ. This
research has valuable implications for investors, board of directors,
analysts, academicians, and policymakers.

Ključne riječi

Board attributes; board diversity; royal directors; financial reporting quality; GCC

Hrčak ID:

306468

URI

https://hrcak.srce.hr/306468

Datum izdavanja:

31.3.2023.

Posjeta: 1.111 *