Audit committee characteristics and Sustainable Development Goals: Evidence from the Gulf Cooperation Council

Abstract

This paper provides empirical evidence on the relationship between audit committee (AC) characteristics and Sustainable Development Goals (SDGs) disclosure in 34 financial companies listed on the Muscat Stock Exchange (MSX) in Oman. Using content analysis and multiple regression analysis on a dataset from 2016 to 2020, obtaining 170 years-observations, the study assesses the attributes of corporate ACs that drive the level of SDG disclosure. The findings reveal that AC attributes such as independence, financial expertise, and overlapped directorships positively influence SDG disclosure. Conversely, the frequency of AC meetings and the proportion of foreign directors negatively affect SDG disclosure. Notably, the presence of female directors does not significantly impact SDG disclosure. These results have implications for policymakers, regulators, and practitioners seeking to enhance sustainable development practices. By understanding the role of specific AC characteristics, organisations can improve SDG reporting, bolster transparency, and advance accountability toward SDGs.