A Proposed Accounting Indicator for the Voluntary Disclosure of Non-financial Information to Reduce Information Asymmetry by Apply on Libyan Banks - an Experimental Study Author
DOI:
https://doi.org/10.37375/esj.v7i1.2710Keywords:
Voluntary disclosure, Information asymmetry, Financial reports, Commercial banks, Libyan capital marketAbstract
The study aims to build an indicator for accounting disclosure for the purposes of reducing information asymmetry and improving the quality of financial reports for Libyan banks depend on the voluntary disclosure of non-financial information for the Libyan Stock market, by providing similar information of qualitative and quantitative to stakeholders. The study relied on the secondary data represented in the financial reports of the banks registered in the Libyan stock market (Sahara Bank, Al-Saray Bank, Bank of Commerce and Development and Wahda Bank). The sample represented approximately 21% of the study community. The reason for choosing these banks is It publishes its financial reports regularly during the study period from 2007-2010. The study found that, it is possible to propose building an accounting indicator for the Libyan stock market to disclose non-financial information to reduce information asymmetry and to test this indicator on the reality of Libyan banks listed in the Libyan stock market. The study also revealed that there is a significant effect of voluntary disclosure of non-financial on information reducing information asymmetry.
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