A survey of corporate governance disclosures among Kenyan firms quoted at Nairobi stock exchange
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Date
2008Author
Mwirichia, Gikunda M
Type
ThesisLanguage
enMetadata
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Corporate governance is a burning issue now-a-days. In Kenya, a number of attempts
have been made on part of different governmental and non-governmental institutions for
ensuring better corporate governance. Considering the importance of this issue, this paper
has tried to examine the actual corporate governance disclosure practices in the listed
public limited companies by considering 45 disclosure items. A sample of 35 listed
companies has been taken for this purpose. To facilitate the analysis, a Corporate
Governance Disclosure Index (CGDI) has been computed and a number of hypotheses
have been tested. The mean and standard deviation of CGDI have been found to be
74.967 and 7.305 respectively. Compared to other emerging economies it is apparent that
NSE listed companies report more comprehensively and gap between the good and poor
reporters is narrower. In this study, only a mild difference has been found to exist among
the CGDI of various sectors. Financial sector has been found to make more intensive
corporate governance disclosure than the non-financial sector. In general, companies
have been found to be more active in making financial disclosures rather than nonfinancial
disclosures. Multiple regression result shows that corporate governance
disclosure index is significantly influenced (at 5% level of significance) by whether or
not the company is in the finance sector, the size of the board of directors, and the age of
the company. Local ownership, the size of the company, whether or not the company is a
multinational, and size of the company are not found to have any significant impact on
corporate governance disclosure.
Citation
A Management Research Project Report Submitted in Partial Fulfillment for the Requirements of the Degree of Masters of Business Administration (MBA), School Of Business, University Of NairobiPublisher
Business Administration