Exploring Financial and Sustainability Reporting on the Web in Indonesia

Abstract

This study analyses the use of the internet to present financial and sustainability reporting by bank and LQ-45 companies listed in the Indonesian Stock Exchange. The internet disclosure index of 60 items is constructed and the index criteria are divided into four parts - content, timeliness, technology and user support. The content items divided into financial and sustainability reporting. The interesting finding is that advance of internet technology was not used by the companies to communicate financial and sustainability information to their stakeholders. There is a striking difference to the extent, to which the companies disclose their online financial and sustainability section. For example, some companies publish sustainability news releases and update their activities. In addition, many others show that not all of the firms listed in Indonesia stock exchange disclose sustainability reporting completely. However, the internet offer tremendous opportunities which are not yet fully exploited for reaching out a wide variety of stakeholders in Indonesia.

Keywords: internet, internet financial reporting, sustainability reporting