Research aims: This study aims to investigate the correlation of influential director, the interactions with tax havens, and the tendency of firms to engage conforming tax avoidance. Design/Methodology/Approach: This study employs a quantitative method using secondary data, of Indonesian firms. With panel data from the years 2010-2022, this study performs purposive sampling and moderating regression analysis to test the hypotheses. The technique also involves Social Network Analysis (SNA) with Gephin 10 to generate the influential director measurement, and regression analysis using STATA. Research findings: The study found that firms having influential director associates with conforming tax avoidance. The findings further show that interactions of influential directors with tax havens show a higher tendency to avoid tax.Theoretical contribution/ Originality: This study contributes to the literature of social network and taxation by presenting on the role of director networks in tax information spillover, that is amplified by the presence of tax haven affiliates. Practitioner/Policy implication: Network-based perspective enables regulators to identify the most central taxpayers (i.e., multinational corporations) that have high influence on information spillover. With the evidenciary support of tax havens, a tax authority may then be inspired to tighten anti-avoidance regulations targeting firms that utilize tax haven affiliations. Research limitation/Implication: This study focus only on the Social Network Theory concept of centrality and limits the SNA to identify the most influential directors by using proxy of eigenvector centrality. Future research is recommended to extend the analysis to other centrality values and other types of networks for more comprehensive findings.
Research aims: This study investigates the interplay among Corporate Governance (CG), Intellectual Capital (IC), and firm value for companies indexed in the Jakarta Islamic Index (JII), specifically analyzing how IC acts as a mediating link connecting governance practices to market valuation. Design/Methodology/Approach: Employing a quantitative methodology, the study utilizes Partial Least Squares Structural Equation Modeling (PLS-SEM) to analyze Sharia-compliant enterprises over an extended observation period, measuring CG indicators, IC via Value-Added Intellectual Coefficient (VAIC), and company value using Tobin's Q. Research findings: Results indicate that CG and IC are positively correlated, whereas firm value exhibits mixed outcomes. Crucially, intellectual capital successfully mediates the relationship between CG and firm value, demonstrating that effective governance optimizes firm value primarily by enhancing intellectual capital. Theoretical contribution/Originality: This study extends resource-based view (RBV) and agency theories within an Islamic capital market context, offering empirical evidence on how structural governance mechanisms translate into intangible asset optimization (intellectual capital) to drive market value in Sharia-compliant firms. Practitioner/Policy implication: Corporate managers and policymakers of Islamic enterprises should prioritize strategic investments in human, structural, and relational capital, aligning corporate governance frameworks to actively cultivate intellectual capital as a core driver of sustainable firm valuation. Research limitation/Implication: The study's scope is restricted to companies listed on the Jakarta Islamic Index (JII), which may limit the generalizability of findings to conventional markets or other international Islamic indices; future research could incorporate broader market comparisons and dynamic longitudinal variables.
Abstract: Research aims: This study examines the determinants of village governance among them accountability, transparency, justice, and public service quality and their impact on community trust, with citizen satisfaction as a mediating variable. Design/Methodology/Approach: Conducted in Wonosobo Regency, Indonesia, the research involved 442 respondents, including village officials and members of the village consultative body, selected through purposive sampling. Responses from multiple informants were matched and aggregated into 123 village-level observations. Data were gathered via a structured survey questionnaire and Partial Least Squares Structural Equation Modeling (PLS-SEM) was used for hypothesis testing. Research findings: The results show that transparency, justice, and public service quality significantly and positively effects on citizen satisfaction, while citizen satisfaction has a significant positive effect on community trust. Additionally, citizen satisfaction mediates the relationship between transparency, justice, public service community and community trust in village governance. However, accountability has no significant direct or indirect effect on community trust. Theoretical contribution/ Originality: Theoretically, it integrates stewardship theory and equity theory to explain village governance, contributing to public governance literature in rural contexts. Practitioner/Policy implication: The study offers practical recommendations for policymakers and village officials, emphasizing the importance of good governance practices, particularly accountability, transparency, justice, and public service quality, to enhance citizen satisfaction and community trust. Research Implication: A unique aspect of this study is the inclusion of public service quality as a key determinant in understanding community trust in village government institutions.
Research aims: This study aims to examine the effect of Environmental, Social, and Governance (ESG) disclosure on firm value and to analyze the moderating role of board independence in Southeast Asian banking companies.Design/Methodology/Approach: This research employs a quantitative approach using panel data from banking companies in Southeast Asia (Indonesia, Malaysia, Singapore, Thailand, and the Philippines) over the period 2010–2023. ESG data are obtained from Thomson Reuters, while firm value is measured using Tobin’s Q. Panel regression analysis is conducted using EViews.Research findings: The results indicate that ESG disclosure has a positive and significant effect on firm value. However, the individual ESG dimensions show varying results, where social disclosure negatively affects firm value, while environmental and governance disclosures are insignificant. In addition, board independence strengthens the relationship between ESG disclosure and firm value, suggesting that governance quality plays an important role in enhancing the effectiveness of sustainability practices.Theoretical contribution/Originality: This study contributes to the ESG literature with providing evidence from Southeast Asian banking firms, an emerging market context that remains underexplored in prior studies. Furthermore, this study extends the literature by demonstrating that board independence functions as a governance mechanism that determines the value relevance of ESG disclosure.Practitioner/Policy implication: The findings provide important insights for regulators, investors, and banking institutions regarding the importance of strengthening governance structures to ensure that ESG initiatives create long-term firm value. The results also support the development of more effective sustainability reporting and governance policies in the banking sector.Research limitation/Implication: This study is limited to banking sector data and ESG scores from a single database. Future research may expand to other sectors and alternative ESG measurement approaches.
Research aims: This study aims to determine the relationship between the Company's financial condition and the quality of financial reports.Design/Methodology/Approach: The classification of financial conditions in this study utilises the Altman Z-score model, which categorises companies into three categories: green zone, grey zone, and red zone. Researchers tested the hypothesis using the Generalised Least Squares (GLS) method to accommodate differences in data characteristics, heteroscedasticity, and multicollinearity diagnostic problems on 58,890 company-year observations from 47 developed countries between 2014 and 2023.Research findings: The results of this study support the hypothesis that a company's financial condition plays a role in determining the quality of its financial reports. Companies in the green zone and grey zone categories strive to maintain the quality of their financial reports and encourage an improvement in the quality of these reports. Meanwhile, companies in the red zone category tend to embellish the appearance of their financial report performance to conceal financial difficulties, which ultimately have the potential to compromise the quality of their financial reports.Theoretical contribution/Originality: This study offers insight into the implications of financial conditions on the quality of corporate financial reports in the international context of developed countries, which exhibit more advanced economic, social, and legal conditions.Research limitation/Implication: This research has practical implications for investors, creditors, external auditors, and regulators, as it suggests using bankruptcy zone assessment as an early warning system to evaluate the quality of financial reports.
Research aims: This study investigates the effect of climate change disclosure on firm performance and the moderating role of institutional ownership in this relationship in an emerging market. Design/Methodology/Approach: This study employs a quantitative method using secondary data from mining companies in Indonesia and Malaysia for the 2022-2024 period. The sample was selected through a purposive sampling method, and panel-data regression with random effect model (REM) was analyzed using EViews 12.Research findings: The results show that climate change disclosure has a positive effect on firm performance. However, in emerging countries where institutional investors may act passively and show little concern in sustainability issues, this study emphasizes the limited role of institutional ownership on business environmental standards.Theoretical contribution/Originality: This study contributes to the literature on the role of institutional ownership as a corporate governance mechanism in driving improved corporate performance through climate disclosure in mining companies in Indonesia and Malaysia.Practitioner/Policy implication: The findings suggest that firms need to enhance the transparency of their climate change disclosure, as it may contribute positively to firm performance and strengthen investor trust. In addition, regulators are encouraged to promote more comprehensive climate-related disclosure practices in order to support sustainable business development. Research limitation/Implication: This study is limited to mining companies in Indonesia and Malaysia over the 2022–2024 observation period. Future research is recommended to extend the analysis to other industries and countries, as well as to use a longer observation period in order to obtain more robust and comprehensive findings.
Research aims: The objective of this study is to investigate the impact of budget transparency, tax knowledge, and tax education on Tax Compliance (TC) among individual taxpayers in Malaysia. This study used a questionnaire instrument and a quantitative approach to collect data from salaried individuals and the self-employed. The relationships between independent variables and the dependent variable were examined using correlation and regression analyses to determine the extent of their impact. Design/Methodology/Approach: The study population comprised salaried and self-employed taxpayers in Malaysia. A purposive sampling technique was employed to target respondents with actual tax filing experience, including academic staff, medical practitioners, and legal professionals. These groups were selected due to their direct exposure to Malaysia’s self-assessment tax system. The questionnaire items were adapted from established studies to ensure content validity. Research findings: To fulfill the objectives, this study attempts to provide some information and results by presenting empirical evidence for Malaysian authorities, practitioners and interested parties. This will lead to improve TC amongst individual Malaysian taxpayers in the future. The findings of this research demonstrate that budget transparency has a positive and significant impact on TC. In addition, tax knowledge and tax education have influenced individual taxpayer compliance positively and significantly. Theoretical contribution/Originality: This study contributes to the tax compliance literature by integrating budget transparency, tax knowledge, and tax education within a Theory of Planned Behavior framework. The findings offer practical insights for policymakers by emphasizing the importance of transparency and taxpayer education as tools for enhancing voluntary compliance in self-assessment tax systems, particularly in developing economies such as Malaysia.Practitioner/Policy implication: The primary concern for tax authorities in both developed and developing countries is TC. As a result, professionals in academic and non-academic organizations are attempting to enhance the level of TC among taxpayers. This will lead to an increase in tax revenue figures in the national budget. To achieve this, various strategies are being implemented, such as improving taxpayers' tax knowledge and education and providing them with all possible information on the contents of the public budget, specifically concerning tax revenue and its allocation.
Research aims: This study investigates the moderating effect of non-controlling interests in subsidiaries (NCIS) on the influence of pressure from parent entity shareholders (PES) and creditors on corporate earnings management (CEM).Design/Methodology/Approach: Data from 3,882 firm-years from companies listed on the largest capital markets in five Southeast Asian countries from 2019 to 2024 were used. Moderated regression analysis was used.Research findings: Pressure from PES and creditors has a positive effect on CEM, and the presence of NCIS weakens this effect.Theoretical contribution/Originality: This study aligns with agency theory, stating that agency problems arise between management, PES, NCIS, and creditors. This study also aligns with fraud theory, stating that pressure from PES and creditors stimulates CEM, and the presence of NCIS reduces management's opportunity to engage in CEM practices. This study extends the previous earnings management literature by isolating the pressure exerted solely by parent-entity shareholders and empirically testing the moderating role of non-controlling interests.Practitioner/Policy implication: NCIS can monitor management performance and intervene with PES and creditors. Although NCIS lacks control and holds a small number of shares, annual shareholder meetings and its representation on the board of commissioners serve as a means for NCIS to exercise its oversight function, including the board of directors' actions to implement CEM.Research limitation/Implication: This study uses three dimensions of the fraud triangle to identify the determinants of CEM actions and examine the moderating role of NCIS. It does not include other factors influencing CEM, as fraud theory has evolved, reaching the hexagon of fraud theory, or perhaps even more than seven dimensions.
Research aims: This study analyzes the dual impact of framing (positive versus negative) and clawback provisions on managerial decisions regarding divestment. The study focuses on the interaction between clawback provisions, which serve as compensation-related loss cues, and externally framed accounting information, and its impact on managers’ risk attitudes regarding negative performance investments.Design/Methodology/Approach: A 2×2 between-subjects laboratory experiment was conducted with 84 participants who evaluated divestment alternatives under positive or negative frames, with or without clawback provisions.Research findings: The results indicate that framing significantly influences divestment decisions, as positive frames lead to risk-averse divestment choices, while negative frames promote risk-seeking continuation. Although clawback provisions do not exhibit a significant main effect, their interaction with framing is significant. Clawbacks increase risk-taking under positive frames but reduce risk-taking under negative frames, revealing a novel dual-framing mechanism.Theoretical contribution/Originality: This study demonstrates empirically that the behavioral consequences of clawback provisions vary depending on the framing of performance evaluation information. The study demonstrates that compensation-based loss signals interact with information framing, extending behavioral accounting research on framing effects to the area of divestment decisions in non-financial contexts.Practical implications: The results suggest that firms should better align their pay contracts with their internal reporting structures. More specifically, integrating clawback provisions with performance accomplishments articulated in positive terms may lead managers to persist in their failure to lose investments. Hence, firms and pay committees need to align the design of incentives with management reporting to contain loss-inducing risk-taking.
Research aims: This study aims to analyze the governance of Amil Zakat Muhammadiyah (LAZISMU) in East Java in achieving sustainable development goals (SDGs).Design/Methodology/Approach: This study uses a qualitative approach with semi-structural and Focus Group Discussion (FGD) interview techniques with leaders in three LAZISMU regions in the East Java region.Research findings: This study shows that zakat institutions have served as an Islamic philanthropic institution. LAZISMU East Java managed to overcome poverty, community economic impurity and improve welfare. Good governance has a role in encouraging the realization of SDGs, namely, transparency, accountability and trust or integrity. In addition, discipline or obedience, efficiency and effectiveness, independent, innovative, justice, participation, professionalism and responsive. LAZISMU has achieved sustainable development goals (SDGs) as follows: Poverty Alleviation (1), Decent Work and Economic Growth (8), Qualified Education (4), Health Service (3), Social Humanity [Zero Hunger (2), Reduced Inequalities (10) and Climate Action (13)], Welfare of society (ummah) [(peace justice, and strong institutions (16) and partenships for the goals (17)]. The study also found challenges in the application of governance, such as HR limitations, brought together the pattern of governance between institutions in various regions of the research object.Theoretical contribution/Originality: This study contributes to enriching governance literature and the role of Zakat institutions in achieving sustainable development goals (SDGs).Practitioner/Policy implication: This study emphasizes the importance of governance in the management of zakat institutions in achieving SDGs and the need for greater support from the National Amil Zakat (BAZNAS).Research limitation/Implication: This study has limitations, in three LAZISMU in the East Java region. In addition, data collection is only through deep interviews and FGD.
Research aims: This study examines the effect of Good Procurement Governance (GPG) on organisational performance in public institutions, particularly in XYZ Universities.Design/Methodology/Approach: The research method used quantitative data from a survey of 157 procurement practitioners at the XYZ University, which were analysed statistically using Structural Equation Modelling–Partial Least Squares (SEM-PLS). To complement and deepen the interpretation of the confirmatory factor analysis results, a qualitative approach was subsequently employed through Focus Group Discussions (FGDs) with XYZ University procurement actors.Research findings: The results show that GPG negatively affects organisational performance, while each GPG dimension positively enhances it. This result indicates the importance of fit between regulations, institutions, human resources, and information systems within the contingency theory framework.Theoretical contribution/Originality: This study contributes theoretically by expanding the GPG model grounded in contingency theory and practically by providing recommendations for strengthening procurement governance in public universities.
Research aims: This research analyzes how green innovation strategies influence the financial performance of manufacturing firms in Indonesia, with Corporate Social Responsibility (CSR) and gender diversity as moderators.Design/Methodology/Approach: A quantitative approach using secondary data from 70 manufacturing firms listed on the Indonesia Stock Exchange (2018–2022) was applied. Ordinary Least Squares (OLS) regression was conducted in Stata, with purposive sampling based on specific criteria.Research findings: Green innovation and gender diversity significantly enhance financial performance. CSR, however, shows no significant direct effect, and neither CSR nor gender diversity significantly moderates the relationship between green innovation and financial performance.Theoretical contribution/Originality: The study makes three contributions. First, it examines CSR and gender diversity simultaneously as independent factors and moderators, highlighting their differential roles in emerging markets. Second, it identifies boundary conditions, showing that green innovation delivers benefits mainly when organizational capabilities are sufficient, challenging the generalizability of Western-based theories. Third, it offers insights into why stakeholder mechanisms may be less effective in contexts with weak enforcement and symbolic compliance, refining theoretical understanding in emerging-market settings.Practitioner/Policy implication: Managers and policymakers should treat gender diversity as a strategic asset to enhance performance, while CSR initiatives should be carefully designed and consistently implemented to add genuine value rather than symbolic compliance.
Research aims: This study examines the impact of Basel III prudential ratios (Tier 1 capital ratio, Liquidity Coverage Ratio proxy, and Net Stable Funding Ratio proxy) on bank profitability in Indonesia, as well as the moderating role of macroeconomic factors (GDP growth and inflation).Design/Methodology/Approach: The study utilizes panel data from 63 Indonesian commercial banks over the period 2011–2022. A bank fixed effects regression model with robust standard errors clustered at the bank level is employed. Four progressive specifications are tested to assess the direct effects of prudential ratios, bank-specific controls, macroeconomic variables, and their interactions.Research findings: The Tier 1 capital ratio consistently exerts a positive and significant effect on Return on Assets (ROA), indicating that higher capital adequacy supports profitability. Liquidity proxies have a limited direct impact, consistent with evidence that the NSFR often serves as a non-binding constraint in Indonesia. Macroeconomic factors play a moderating role, with GDP growth attenuating the capital-profitability relationship and inflation reinforcing it. Robustness checks excluding the NSFR proxy or the COVID-19 period confirm the stability of these results.Theoretical contribution/Originality: This study extends the Basel III literature by demonstrating that regulatory effects on bank profitability are conditional on macroeconomic conditions in an emerging market context. It provides evidence of asymmetric moderation, where growth cycles may encourage risk-shifting while inflation enhances capital benefits.Practitioner/Policy implication: Regulators should prioritize capital adequacy enforcement while calibrating liquidity requirements to avoid undue profitability costs. Banks can optimize performance by maintaining flexible capital buffers in response to macroeconomic fluctuations. Policymakers may consider countercyclical adjustments to enhance resilience without compromising earnings.
Research aims: This study examines how public participation is implemented in village development planning and investigates the factors contributing to its limited effectiveness.Design/Methodology/Approach: Using a qualitative case study approach, this research applies Miller et al.’s (2019) framework of participation modes to analyze the operation of formal and informal participatory mechanisms in village governance. Fieldwork was conducted in Bumiwangi Village, West Java, through semi-structured interviews, participant observation, and document analysis to assess how participatory practices influence accountability and decision-making.Research findings: The study identifies two interconnected models of public participation. Formal participation occurs through village development planning deliberations (Musrenbangdes), while informal participation takes place in community deliberation forums (rembug warga). Informal participation is characterized by openness, inclusivity, and deliberative dialogue that enables collective problem-solving and meaningful citizen input. In contrast, formal participation is largely dominated by selected representatives and confirmatory communication aligned with the village head’s agenda, resulting in limited citizen influence. Public input is mostly indirect and exercised through informal spaces rather than formal decision-making channels. Two key barriers constrain effective participation: (1) village authorities’ narrow understanding of participation as mere representation, and (2) limited public access to financial and planning information, which restricts informed and critical engagement.Theoretical contribution/Originality: This study extends Miller et al.’s (2019) participation framework to a rural Indonesian context, highlighting the structural weaknesses of formal participatory mechanisms and emphasizing the crucial yet underrecognized role of informal forums in fostering deliberative accountability and social legitimacy.Practitioner/Policy implication: Policymakers should integrate informal participatory forums into formal governance processes, enhance transparency, and expand public access to information to reduce elite dominance and strengthen accountability.
Research aims: ISSB issued IFRS S1 and S2 reporting that influence entities to disclose information about risks and opportunities based on SASB standards. This study examine whether materiality disclosure reflects on value relevance information content. The materiality item relates to the general purpose of financial reporting, helping users make decisions.Design/Methodology/Approach: Using regression analysis, this study analyse 330 firm-year observations from 71 firms listed on the Indonesia Stock Exchange from 2017-2022.Research findings: This study find positive relationship between materiality disclosure and value relevance information. In addition, firms with high materiality not accurately reflects on stock price related sustainability item.Theoretical contribution/Originality: This study provides novel evidence that materiality disclosure enhances value relevance by influencing stock prices. It extends the decision-usefulness perspective by showing that market responses to materiality vary across firms, highlighting the role of sustainability disclosure in shaping investors’ valuation.Practitioner/Policy implication: This study suggest that materiality disclosure serves as a strategic tool for firms to enhance market value, not just a compliance exercise. For regulators, the evidence supports ISSB’s mandate that materiality reporting is essential to provide decision-useful sustainability information for investors.Research limitation/Implication: First, this study is limited to the Indonesian context. Future research is encouraged to broaden the scope by including other countries, particularly those that are members of the IASB. Second, the study does not account for the issue of endogeneity within its methodological approach.
Research aims: This study examines whether Bitcoin can serve as a safe-haven asset amid global market uncertainty during the 2022–2025 period, characterized by geopolitical tensions, post-pandemic inflation, and heightened financial volatility.Design/Methodology/Approach: The study employs a quantitative approach using daily data on Bitcoin, gold, oil, the S&P 500 index, and the Volatility Index (VIX) from January 2022 to June 2025. All variables are transformed into logarithmic returns and analyzed using an ARCH model to capture time-varying volatility and assess the influence of global market factors on Bitcoin returns..Research findings: The empirical results indicate that the VIX has a statistically significant negative effect on Bitcoin returns, implying that rising global uncertainty weakens rather than strengthens Bitcoin’s value. The S&P 500 exerts a significant positive influence, showing that Bitcoin moves pro-cyclically with equity markets and behaves like a risky asset. Oil prices have no significant impact, while gold returns exhibit a significant but unstable co-movement, lacking consistent value preservation. Overall, these findings reject Bitcoin’s safe-haven role and characterize it as a speculative digital asset with high sensitivity to stock market dynamics.Theoretical contribution/Originality: This study contributes to the safe-haven and digital finance literature by providing recent empirical evidence that distinguishes Bitcoin from genuine safe-haven assets. Grounded in formal safe-haven theory and volatility dynamics, it challenges the “digital gold” narrative and clarifies the boundary between high-risk digital assets and traditional safe havens.Practitioner/Policy implication: For investors, the results of this study confirm the need for caution in treating Bitcoin as a portfolio diversification instrument, as its behavior is more like that of a risky asset than a hedge asset. For Policymakers and regulators, these results show the importance of public education regarding Bitcoin's volatility risks and its limitations as a safe haven.
Research aims: The rapid advancement of robotic process automation (RPA) technologies presents significant transformation opportunities for the accounting profession, yet adoption rates remain inconsistent across different contexts. This study investigates factors influencing RPA adoption among accounting professionals in South Africa, employing the Unified Theory of Acceptance and Use of Technology (UTAUT) framework.Design/Methodology/Approach: Using descriptive and inferential statistics, the study analysed quantitative and qualitative data gathered from 100 accounting and auditing professionals.Research findings: Findings revealed Social Influence as core predictor while skills and training gaps, resistance to change, and resource constraints were notable barriers. A significant awareness-implementation gap was also observed for RPA knowledge versus usage.Theoretical contribution/Originality: This study contribes theoretically by demonstrating that social legitimation may outweigh technical performance in professional settings within emerging markets, a contexts where peer validation and collective professional endorsement are crucial. By theorizing awareness-implementation paradox, it noted that attitude and knowledge are vital yet, insufficient for behavioural change. Additionally, it provides context-sensitive validation of UTAUT constructs from an emerging economy.Practitioner/Policy implication: The findings reinforce technology-centric adoption, with professional services contexts exhibiting unique dynamics. Overall, it highlights prioritizing social factors, management endorsement and peer advocacy as implementation strategies for RPA adoption over technical features. These findings provide evidence-based guidance for organisations and professional bodies seeking to advance RPA adoption within the South African accounting professional context.
Research aims: This study examines the effects of regulations, human resource competence, and budget politics on budget absorption. In addition, it seeks to analyze the moderating role of budget politics in strengthening or weakening the relationships between regulations, human resource competence, and budget absorption. Design/Methodology/Approach: This research adopted a quantitative approach using a questionnaire survey. The study population comprised all government officials from 27 regional apparatus work units in Nagan Raya Regency, Aceh Province, totaling 108 respondents, including service secretaries, financial administration officials, expenditure treasurers, and heads of finance subdivisions. Data were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM). Research findings: The results indicate that budget politics positively influence public budget absorption, whereas regulation and human resource competence do not have a direct effect. The moderation analysis further reveals that budget politics has a significant negative moderating effect on the relationship between regulation and budget absorption, implying that heightened political intensity may weaken the effectiveness of regulatory frameworks. Conversely, budget politics does not moderate the relationship between human resource competence and public budget absorption.Theoretical contribution/Originality: This study has expanded the literature on the political budget cycle by emphasizing the significance of balancing political stability, regulatory flexibility, and adaptive human resource capacity to improve the effectiveness of public budget absorption.Practical/Policy implication: Local governments should design regulations that are adaptive to political dynamics, strengthen managerial human resource capacity, and optimize digital technologies to enhance transparency and efficiency in budget management.
Research aims: This study explores the influence of Environmental, Social, and Governance (ESG) practices on corporate debt costs. The primary objective is to determine whether comprehensive ESG adherence can function as a mechanism to reduce financial liabilities by lowering borrowing costs.Design/Methodology/Approach: The research employs a quantitative methodology, using a dataset of ESG scores from 635 firm-year observations in Indonesian data covering 2013-2022, and analyzes it using OLS regression. The analytical approach involves comparing corporate debt costs with overall ESG scores and with the disaggregated ESG scores independently.Research findings: ESG scores are associated with lower debt costs. However, when the components are analyzed separately, only the Governance score shows a statistically significant negative correlation with debt costs. Environmental and Social scores do not demonstrate a meaningful standalone effect. It suggests that creditors place greater emphasis on governance-related factors in assessing credit risk.Theoretical contribution/Originality: This study makes a significant contribution to the literature on sustainable finance by providing empirical evidence of the differential impact of ESG components on corporate financing costs. It advances understanding of how ESG factors, particularly governance, shape firms’ financial outcomes.Practitioner/Policy implication: The results highlight the strategic importance of governance-focused ESG initiatives for firms seeking to lower financing costs. Policymakers and corporate strategists should recognize the value creditors place on governance practices and incorporate this insight into ESG frameworks and disclosure standards.
Research aims: This study aims to investigate the impact of Attitudes, Subjective Norms, Perceived Behavioral Control, and Gender on Whistleblowing Intentions among auditors.Design/Methodology/Approach: The research uses Attitudes, Subjective Norms, Perceived Behavioral Control, and Gender as independent variables, with Whistleblowing Intention as the dependent variable. The sample consists of 202 auditors working at Public Accounting Firms (PAF) in East and South Jakarta. Data were analyzed using SmartPLS version 4.0.93.Research findings: The results show that Attitudes, Subjective Norms, and Perceived Behavioral Control positively influence whistleblowing intentions. However, Gender does not have a significant effect. Collectively, the variables influence whistleblowing intentions, with an adjusted R-square of 32.10%.Theoretical Contribution/Originality: This study expands the limited research on whistleblowing in Indonesia, particularly among external auditors, and provides empirical evidence concerning behavioral factors influencing whistleblowing intentions.Practitioner/Policy implication: The findings offer guidance for organizations in developing effective training, internal policies, and reporting systems to strengthen whistleblowing culture and support fraud prevention.Research limitation/Implication: Whistleblowing intentions are explained by only 32.10% of the tested variables, indicating that 67.90% is influenced by other factors such as religiosity, professionalism, and perceived good governance. Future research should include additional variables and larger samples to capture broader behavioral dynamics.
