The moderating role of IFRS in the relationship between risk management and financial disclosure in Jordanian banks
This study investigated the impact of IFRS on the relationship between risk management and financial disclosure in Jordanian banks in light of the Covid-19 pandemic. The study data were collected from Jordanian banks’ financial reports with the help of panel data to measure IFRS and risk management....
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| Format: | Article |
| Language: | English |
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LLC "CPC "Business Perspectives"
2022-09-01
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| Series: | Banks and Bank Systems |
| Subjects: | |
| Online Access: | https://www.businessperspectives.org/images/pdf/applications/publishing/templates/article/assets/17043/BBS_2022_03_Alawaqleh.pdf |
| _version_ | 1818017230876573696 |
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| author | Qasim Ahmad Alawaqleh Mohammad Hamdan Ahmed Al-Jayousi Rana Airout |
| author_facet | Qasim Ahmad Alawaqleh Mohammad Hamdan Ahmed Al-Jayousi Rana Airout |
| author_sort | Qasim Ahmad Alawaqleh |
| collection | DOAJ |
| description | This study investigated the impact of IFRS on the relationship between risk management and financial disclosure in Jordanian banks in light of the Covid-19 pandemic. The study data were collected from Jordanian banks’ financial reports with the help of panel data to measure IFRS and risk management. The study depended on daily data, at a rate of (256) trading days from March 3, 2020 until April 29, 2021. Also, the study used questionnaires to measure financial disclosure in addition to interviews with eight Jordanian bank managers. Multiple regression was used to test hypotheses. The study found a positive statistically significant relationship between risk management and financial disclosure. The relationship was portrayed by a coefficient of 0.315. The result also showed the moderating role of IFRS in such a relationship, the effect reached 0.696. The conclusions have implications for both theory and practice. In fact, the findings elucidated the connection between risk management, IFRS, and financial disclosure. Finally, Jordanian banks should focus on IFRS and risk management, enhanced management, and employee skills as recommendations in this study. Thus, Jordanian banks pay particular attention to IFRS and risk management in order to achieve profitability through financial disclosure.
AcknowledgmentThe publication of this research has been supported by the Deanship of Scientific Research and Graduate Studies at Philadelphia University – Jordan. |
| first_indexed | 2024-04-14T07:24:38Z |
| format | Article |
| id | doaj.art-6a15f0e78c38499daff6d06f64cea86f |
| institution | Directory Open Access Journal |
| issn | 1816-7403 1991-7074 |
| language | English |
| last_indexed | 2024-04-14T07:24:38Z |
| publishDate | 2022-09-01 |
| publisher | LLC "CPC "Business Perspectives" |
| record_format | Article |
| series | Banks and Bank Systems |
| spelling | doaj.art-6a15f0e78c38499daff6d06f64cea86f2022-12-22T02:06:03ZengLLC "CPC "Business Perspectives"Banks and Bank Systems1816-74031991-70742022-09-0117316717610.21511/bbs.17(3).2022.1417043The moderating role of IFRS in the relationship between risk management and financial disclosure in Jordanian banksQasim Ahmad Alawaqleh0https://orcid.org/0000-0001-6964-4785Mohammad Hamdan1https://orcid.org/0000-0001-6288-4743Ahmed Al-Jayousi2https://orcid.org/0000-0002-5885-6982Rana Airout3https://orcid.org/0000-0002-3762-3186Ph.D., Associate Professor in Accounting, Faculty of Business, Department of Accounting, Philadelphia UniversityPh.D., Lecturer, Faculty of Business, Department of Accounting, Philadelphia UniversityPh.D., Professor, Faculty of Business, Finance Department, Philadelphia UniversityPh.D., Assistant Professor, Faculty of Business, Department of Accounting, Philadelphia UniversityThis study investigated the impact of IFRS on the relationship between risk management and financial disclosure in Jordanian banks in light of the Covid-19 pandemic. The study data were collected from Jordanian banks’ financial reports with the help of panel data to measure IFRS and risk management. The study depended on daily data, at a rate of (256) trading days from March 3, 2020 until April 29, 2021. Also, the study used questionnaires to measure financial disclosure in addition to interviews with eight Jordanian bank managers. Multiple regression was used to test hypotheses. The study found a positive statistically significant relationship between risk management and financial disclosure. The relationship was portrayed by a coefficient of 0.315. The result also showed the moderating role of IFRS in such a relationship, the effect reached 0.696. The conclusions have implications for both theory and practice. In fact, the findings elucidated the connection between risk management, IFRS, and financial disclosure. Finally, Jordanian banks should focus on IFRS and risk management, enhanced management, and employee skills as recommendations in this study. Thus, Jordanian banks pay particular attention to IFRS and risk management in order to achieve profitability through financial disclosure. AcknowledgmentThe publication of this research has been supported by the Deanship of Scientific Research and Graduate Studies at Philadelphia University – Jordan.https://www.businessperspectives.org/images/pdf/applications/publishing/templates/article/assets/17043/BBS_2022_03_Alawaqleh.pdffiscal disclosureInternational Financial Reporting Standardsrisk management |
| spellingShingle | Qasim Ahmad Alawaqleh Mohammad Hamdan Ahmed Al-Jayousi Rana Airout The moderating role of IFRS in the relationship between risk management and financial disclosure in Jordanian banks Banks and Bank Systems fiscal disclosure International Financial Reporting Standards risk management |
| title | The moderating role of IFRS in the relationship between risk management and financial disclosure in Jordanian banks |
| title_full | The moderating role of IFRS in the relationship between risk management and financial disclosure in Jordanian banks |
| title_fullStr | The moderating role of IFRS in the relationship between risk management and financial disclosure in Jordanian banks |
| title_full_unstemmed | The moderating role of IFRS in the relationship between risk management and financial disclosure in Jordanian banks |
| title_short | The moderating role of IFRS in the relationship between risk management and financial disclosure in Jordanian banks |
| title_sort | moderating role of ifrs in the relationship between risk management and financial disclosure in jordanian banks |
| topic | fiscal disclosure International Financial Reporting Standards risk management |
| url | https://www.businessperspectives.org/images/pdf/applications/publishing/templates/article/assets/17043/BBS_2022_03_Alawaqleh.pdf |
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