Company’s characteristics and corporate sustainability reporting practice of listed manufacturing companies in Nigeria
Sani AbdulRahman Bala, Mary Ezeji and Mohammed Auwal Babangida
The research looks at how company variables, such as size, leverage, and profitability, affect sustainability reporting in Nigeria. The study used an ex-post design and the sample included 15 publicly traded manufacturing enterprises in Nigeria. These companies were chosen because they have the potential to be environmentally conscious. The study covers a period of five years, from 2016 to 2020. Thus, because econometric modelling of bounded dependent variables reveals the limitations of linear estimation, the researchers employed the generalized least-squares approach to estimate the panel data first, followed by fractional regression. To correct for potential non-uniform variation in the estimation, the white-adjusted standard error was utilized, resulting in an estimation result with no non-uniform variance. In terms of panel duration and cross-section, the estimations were found to be free of non-uniform variance. To confirm the probability of continuous error correlation, the research utilized the Peselan interdependence test. As shown in the results, the residuals are cross-section independent. According to the coefficient values, the only variable that has a positive and significant impact on sustainability reporting is firm size. The report advises relevant government agencies to introduce sustainability tax incentives as it may enhance sustainability reporting practices in the country.
Sani AbdulRahman Bala, Mary Ezeji, Mohammed Auwal Babangida. Company’s characteristics and corporate sustainability reporting practice of listed manufacturing companies in Nigeria. Int J Finance Manage Econ 2022;5(1):49-55. DOI: 10.33545/26179210.2022.v5.i1.117