Board Characteristics and Integrated Reporting Quality in Nigeria and South African Manufacturing Firms

Abstract

The effect of board characteristics on the quality of integrated reporting has raised concerns about governance effectiveness, transparency and stakeholder trust in emerging economies. This study, therefore, examined the effects of board characteristics on integrated reporting quality on listed manufacturing firms in Nigeria and South Africa. The study explored a purposive sampling technique to select 40 manufacturing firms in each country. The data for the study originates from the annual reports and accounts of the selected manufacturing firms from 2012 to 2023. The study utilized panel feasible generalized least squares regression in analyzing the data. The findings from the analysis reveal that board size, board meeting, board shareholding and board independence have significant effects on integrated reporting quality as it relates to the Nigerian manufacturing firms, while the same for South African manufacturing firms, except for board meetings. The study concludes that board attributes have a significant effect on the integrated reporting quality of manufacturing firms in both countries. The study recommends, among others, that both countries should strengthen the role of independent directors through better training and oversight to improve reporting outcomes.