Merwe Oberholzer, Chakanetsa Patrick Korera, Danie Schutte
Abstract
The study aimed to determine the association between the disclosure and transparency practices of Zimbabwean companies and 13 selected determinant factors, which are seven board characteristic variables and six company-specific attributes. The study was performed on annual reports of 35 ZSE listed companies for three years using a content analysis. A self-developed corporate governance disclosure and transparency index, based on the National Code on Corporate Governance Zimbabwe (NCCGZ), was used to evaluate the levels of disclosure and transparency. A panel regression analysis was used to test the association hypotheses. This study found that board ownership, company age and liquidity enhance the extent of disclosure and transparency. Within the context of stakeholder theory, the three identified determinants could be vehicles to enhance interrelationships between companies and their stakeholders. The originality is that this study is the first to address the gap to determine the association between a sustainability-oriented composite disclosure and transparency index and seven board characteristic variables and six company-specific attributes. The value thereof is it provides evidence to indicate which factors and to what extent they promote disclosure and transparency.