Foreign ownership and sustainability performance in Indonesia

Zulaecha, Hesty Erviani; Murtanto,

doi:10.35912/ijfam.v1i1.39

Cited by 10 publications

(11 citation statements)

References 16 publications

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“…A 1% increase in SIZ will lead to 2.06% increase in SQRT and 2.69% in SRQL. The above results agree with the results obtained by Setiawan et al (2021); Shin and Park (2020), Kholis et al (2020), Zulaecha and Murtanto (2019) and Hartikayanti et al (2016) that confirm that foreign ownership have positive effect on the level of sustainability reporting disclosure. However, the results differ from findings by Garanina and Aray (2021), Aggarwal and Singh (2018) and Meutia et al (2017) that show that foreign ownership do not have impact on the level of sustainability reporting disclosure.…”

Section: Discussion Of Findingssupporting

confidence: 91%

Does Foreign Ownership and Foreign Board Member Improve the Quantity and Quality of Sustainability Reporting Among Non-Financial Listed Firms in Nigeria?

Adesina,

Asaolu,

Nwidobie

2023

CIJDS

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The purpose of this study is to investigate the impact of foreign ownership and directorship on sustainability disclosures of non-financial listed firms in the developing countries. Sample consisted of 30 firms across the seven sectors of non-financial listed firms in Nigeria, covering a period of 5 years, 2016 – 2020. Analysis of data collected was carried out from three perspectives, first content analysis of sustainability quantity and quality disclosures by the sampled firms, using 97 indicators based on the GRI 2016 standards was carried out, with the 30 firms divided into two, firms with and without foreign ownership and directorship. The result was analysed using t-test to determine whether there was a significant difference between the means of the two groups. Then correlation between sustainability disclosures and foreign ownership and directorship was determined. Finally, an ordinary pooled regression analysis was carried out to determine the effect of foreign ownership and directorship on sustainability disclosures. T-test results showed positive significant difference between sustainability reporting quantity and quality disclosures of firms with and without foreign ownership and directorship. It was also found that sustainability quantity and quality disclosures were positively correlated with foreign ownership and directorship. Furthermore, the regression analysis showed that foreign ownership has a positive significant effect on sustainability quantity disclosure at 5% (0.150) but an insignificant effect on sustainability quality disclosures. Foreign directorship has positive significant effect on sustainability quantity and quality disclosures at 1% (9.731) and 5% (6.466) respectively. It is recommended that sustainability reporting should be made compulsory by the Financial Reporting Council of Nigeria, having adopted the first two standards issued by the International Sustainability Standards Board (ISSB).

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Section: Discussion Of Findingssupporting

confidence: 91%

Does Foreign Ownership and Foreign Board Member Improve the Quantity and Quality of Sustainability Reporting Among Non-Financial Listed Firms in Nigeria?

Adesina,

Asaolu,

Nwidobie

2023

CIJDS

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“…Menurut Undang-Undang Republik Indonesia Nomor 25 Tahun 2007 pada pasal 1 angka 6 penanam modal asing / kepemilikan asing adalah perseorangan warga negara asing, badan usaha asing dan pemerintah asing yang melakukan penanaman modal di wilayah Republik Indonesia. Kepemilikan asing dapat memengaruhi CSR perusahaan sebab kepemilikan asing dipercaya dalam membuat keputusan yang lebih berkaitan dengan masalah sosial dan lingkungan selain ekonomi (Zulaecha & Murtanto, 2019). Pihak asing dianggap lebih memperhatikan pengungkapan tanggung jawab perusahaan tanggung jawab sosial perusahaan.…”

Section: Pendahuluanunclassified

Kepemilikan Institusional, Kepemilikan Asing dan Pengungkapan Corporate Social Responsibility

Mahadewi

Budiasih

2023

E-Jurnal Akuntansi

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This study aims to examine the effect of institutional ownership and foreign ownership on CSR disclosure. Communicating CSR information can be done by disclosing CSR. The research was conducted at service companies in the property, real estate and building construction sectors listed on the Indonesia Stock Exchange (IDX). The research population is 67 companies. Determining the number of samples using purposive sampling technique with three criteria and then obtained 32 samples. Data were analyzed using multiple linear regression analysis. The results show that institutional ownership has a positive effect on CSR disclosure, while foreign ownership has a negative effect on CSR disclosure. The results of this study can theoretically confirm agency theory and corporate governance. Keywords: Corporate Social Responsibility; Institutional Ownership; Foreign Ownership

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“…The study, therefore, noted that as the domestic economy removes all the trade restrictions, multilateral corporation finds the country favourable foreign direct investment. Moreover, Zulaecha & Murtanto (2019) noted that firms controlled by multilateral and bilateral corporation significantly contributes to sustainable performance in Indonesia. Appiah-Kubi et al (2021) examined the relationship between tax incentives and the inflow of foreign direct investment in 40 African countries for the period of 2000-2018.…”

Section: Literature Reviewmentioning

confidence: 99%

Choice of location for Foreign Direct Investment by multinational corporations: Do tax burden matter?

Bassey

Amobi²,

Okorie³

2022

IJFAM

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Purpose: This paper investigated the effect of the tax burden on the inflow of FDI into the continent. The study employed a panel data set of 48 SSA countries covering a period of 2009 to 2018. Research methodology: In other to account for the endogeneity problems associated with most financial data, we employed a dynamic panel two-step-system-GMM. Results: The result indicates that tax burden is a negative determinant of the inflow of FDI. In other words, multinational corporations attach a significant premium to countries with low tax burdens than those with a high tax burden. Similarly, an increase in the mobility of labour is a negative determinant of the inflow of FDI into the continent. All the economic and financial freedom indices included in the model have a positive and significant influence on the inflow of FDI into the continent. A sustainable tax policy that will lessen the tax burden on foreign investors should be formulated to enhance the inflow of FDI into the continent. Limitations: This study employed Dynamic System GMM which can produce variant results depending on the choice of instrument. Contribution: This study provides insight on the role of fiscal policy particularly taxation in explaining the inflow of FDI. Policymakers, multinational corporations, and other players in the global FDI market will appreciate the influence that tax exerts on FDI inflow. Keywords: 1. FDI 2. Financial freedom 3. Investment freedom 4. Labour freedom 5. Monetary freedom 6. Tax burden

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Foreign ownership and sustainability performance in Indonesia

Cited by 10 publications

References 16 publications

Does Foreign Ownership and Foreign Board Member Improve the Quantity and Quality of Sustainability Reporting Among Non-Financial Listed Firms in Nigeria?

Does Foreign Ownership and Foreign Board Member Improve the Quantity and Quality of Sustainability Reporting Among Non-Financial Listed Firms in Nigeria?

Kepemilikan Institusional, Kepemilikan Asing dan Pengungkapan Corporate Social Responsibility

Choice of location for Foreign Direct Investment by multinational corporations: Do tax burden matter?

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