IFRS and ESG Disclosure in Indian Corporate Sector

IF 1.2 Q3 BUSINESS, FINANCE

Journal of Emerging Market Finance Pub Date : 2023-10-13 DOI:10.1177/09726527231197328

Ajit Dayanandan, Han Donker, Sudershan Kuntluru

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引用次数: 1

Abstract

World-wide, there is movement toward embracing environmental, social, and governance (ESG) issues in corporate conduct and performance. These developments have led to movement toward “reimagining capitalism,” and many firms have ridden the wave of investor enthusiasm for firms that prioritize ESG disclosures. The present study examines the role of International Financial Reporting Standards (IFRS) in India on ESG and overall ESG reporting. The Indian capital markets regulator, SEBI, had made integrated reporting compulsory for listed firms to disclose information about matters that substantively affect the organization’s ability to create value over the short, medium, and long term at a time. Motivated by this episode, we examine how accounting regulations in the form of IFRS could influence ESG disclosures in India. Based on the ESG scores of 104 non-financial firms in India from 2013 to 2021, the study finds a positive relationship between ESG reporting and IFRS introduction in India. The performance of firms (return on assets) and leverage had a negative impact on ESG disclosures. JEL Codes: G14, K22, L51, M38, M41

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印度企业部门的国际财务报告准则和ESG披露

在世界范围内，在企业行为和绩效中包含了环境、社会和治理(ESG)问题。这些发展导致了“重新构想资本主义”的运动，许多公司都利用了投资者对优先披露ESG的公司的热情。本研究探讨了国际财务报告准则(IFRS)在印度对ESG和整体ESG报告的作用。印度资本市场监管机构印度证券交易委员会(SEBI)强制要求上市公司披露在短期、中期和长期内对公司创造价值的能力产生实质性影响的信息。受这一事件的启发，我们研究了国际财务报告准则形式的会计法规如何影响印度的ESG披露。根据2013年至2021年印度104家非金融公司的ESG得分，该研究发现，印度的ESG报告与国际财务报告准则的引入之间存在正相关关系。企业绩效(资产收益率)和杠杆对ESG披露有负向影响。JEL代码:G14, K22, L51, M38, M41

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来源期刊

Journal of Emerging Market Finance BUSINESS, FINANCE-

CiteScore

1.80

自引率

33.30%

发文量

期刊介绍： The Journal of Emerging Market Finance is a forum for debate and discussion on the theory and practice of finance in emerging markets. While the emphasis is on articles that are of practical significance, the journal also covers theoretical and conceptual aspects relating to emerging financial markets. Peer-reviewed, the journal is equally useful to practitioners and to banking and investment companies as to scholars.