The level of climate risk reporting performance and firm characteristics: Evidence from the Saudi Stock Exchange

• DOI: 10.21511/imfi.20(4).2023.29
• Publication Date: 2023-12-07T06:28:41Z
• Authors: Awatif Hodaed Als...; Warda Hodaed Alsh...
• Keywords: Climate risk; Leverage (statistics)

In recent decades, stakeholders have begun to place a greater emphasis on sustainability-related issues, including climate change. Furthermore, the implementation of change initiatives has prompted companies disclose information regarding their evaluation and handling climate-related risks potential benefits. However, there is lack existing literature that investigates this issue in less developed markets, particularly Saudi Arabia, where capital market rapidly developing. The objective study assess degree performance reporting risk investigate correlations between firm characteristics among non-financial firms Arabia during period from 2018 2021. To achieve objectives study, total 515 firm-year observations were utilized, representing 140 context Arabia. study’s findings illustrate level steadily improved over years. addition, reveal size industry exhibit positive correlation with performance. Conversely, leverage profitability do not demonstrate such associations. results are line alternative measures performance, as well when broken down into four core elements. Policymakers regulators could use these promote awareness factors influence enhance sustainable practices.