Disclosure and Corporate Governance in Developing Countries: Evidence from India

Abstract:     
The paper uses disclosure scores to examine corporate governance practices of Indian listed companies. A content analysis of 29 listed companies has been carried out and a disclosure index developed to determine the level of disclosure by the companies. This study finds that the disclosure level among Indian companies is quite high (disclosing almost 73% of the items in the index). The findings of the research will add to the increasingly inadequate literature relating to corporate governance in developing countries. However this research is limited because it focuses on only the largest 29 companies listed on the BSE. The study is important because of the recent flow of international capital into developing countries as a result of World Bank and IMF led economic restructurings. Due to these, transparency and disclosure have gained increased impetus. There is thus the need to understand corporate governance practices in the developing world.

Number of Pages in PDF File: 22

Keywords: Disclosure, Corporate Governnace, Developing Countries, India

JEL Classification: G30, G34

working papers series