THE MODERATING EFFECT OF LISTING AGE ON FIRM IDIOSYNCRASIES AND EXTENT OF CORPORATE SOCIAL RESPONSIBILITY DISCLOSURES IN THE NIGERIAN CAPITAL MARKET

  • S. A. Oyekan Department of Economics, Accounting and Finance, College of Human Resource Development, Jomo Kenyatta University of Agriculture and Technology, Nairobi, Kenya
Keywords: Listing age of firm, corporate social responsibility disclosures, capital market

Abstract

The aim of this study was to explore the moderating effect of firm idiosyncrasies and extent of corporate social responsibility disclosures in Nigerian capital market. The sample consisted non-financial firms from the Nigerian capital market from 2000 to 2015 whose reporting was deemed to be complete within the financial years stated and were more likely to disclose CSR information. The environmental, community and employee disclosure cost contents are introduced in order to determine the extent of CSR disclosure. Results based on the content data multiple regression models indicated a positive relationship between CSR disclosure and ownership structures. The result implies that the firm idiosyncrasies were positively moderated by firm age of listing, and only the firm industry type was negatively moderated by the firm listing age. Considering the level of significance of the ANOVA for the four variables, the result of the regression analyses revealed that firms’ age of listing moderated the relationships between the firm size, firm financial performance, firm industry type and CSR disclosure in the Nigerian capital market. The findings implied that the null hypothesis which states that there is no significant moderating effect of firm age of listing on extent of CSR disclosures in Nigeria capital market was rejected at a significance level of 0.05. The results have several policy implications for good corporate governance practices of voluntary and mandatory disclosures in Nigeria and other emerging economies with strict policies for firms regarding the CSR to compelled compliance on good corporate culture practices.

Published
2019-07-09