The Impact of Government Ownership on Dividend Policy:Case in Viet Nam

This research examined the effect of stock liquidity on the propensity to pay dividend for 254 Indonesian public listed firms during the period of l 2011 and 2015. Stock liquidity implies transparency level and serves as market monitor for management performance in using the cash flow. Furthermore, this research examines the impact of stock liquidity on dividend payment in the presence of agency conflicts using agency proxies, wedge and government ownership. This paper employed multivariate probit regression. The baseline model has controlled for time in-variant and industry sectors. Robustness checks are employed to present consistent result for other stock liquidity measures. The results confirm the predicted dividend model outcome and prove the contradiction in dividend signaling theory.

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State ownership and efficiency characteristics

Voprosy Ekonomiki ◽

10.32609/0042-8736-2017-4-5-37 ◽

2017 ◽

pp. 5-37 ◽

Cited By ~ 6

Author(s):

A. Abramov ◽

A. Radygin ◽

M. Chernova ◽

R. Entov

Keyword(s):

State Ownership ◽

Government Ownership ◽

Gross Margin ◽

Private Companies ◽

Return On Equity ◽

Debt Burden ◽

Lower Productivity ◽

Negative Effect ◽

Direct Government ◽

The Impact

The paper examines the influence of state participation in the ownership structure of companies on their financial efficiency using a sample of 114 largest companies in Russia. As an indirect indicator of efficiency we used a variety of financial indicators: revenue per employee (gross margin), return on equity, profit margin and debt burden. The authors have tried to discriminate the influence of direct and indirect state ownership. Using econometric analysis we conclude that the size of the block of shares owned by the state has negative effect on the performance characteristics, and its increase is associated with an increase in the debt burden of companies. According to our criteria, state-owned enterprises (SOEs) on average perform worse than private companies. The study shows that a change in the profitability of private companies is characterized by a significant dependence on the movement of indirect productivity characteristics. At the same time, for SOEs the similar correlation between return on equity and efficiency characteristics was not revealed. The study shows that the increase of the size of direct government ownership leads to lower productivity and profitability; the impact of indirect state ownership is, seemingly, more complicated.

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Capital Structure and Corporate Governance Mechanisms in Kuwait Stock Exchange (KSE)

International Journal of Economics and Finance ◽

10.5539/ijef.v12n6p38 ◽

2020 ◽

Vol 12 (6) ◽

pp. 38

Author(s):

Mejbel Al-Saidi

Keyword(s):

Corporate Governance ◽

Capital Structure ◽

Stock Exchange ◽

Ownership Concentration ◽

Government Ownership ◽

Governance Mechanisms ◽

Corporate Governance Mechanisms ◽

Kuwait Stock Exchange ◽

Corporate Capital Structure ◽

The Impact

The study investigated the impact of corporate governance mechanisms on the corporate capital structure of the Kuwait Stock Exchange (KSE). Specifically, this study linked five corporate governance mechanisms—large shareholder ownership concentration, government ownership concentration, board size, board independence, and family directors—with capital structure for 81 non-financial listed firms between 2017 and 2018. The data indicated that only government ownership concentration and family directors affect capital structure.

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The Impact of Ownership on Corporate Performance: The Case of the UAE

Review of Middle East Economics and Finance ◽

10.1515/rmeef-2017-0013 ◽

2018 ◽

Vol 13 (3) ◽

Author(s):

Magda Elsayed Kandil ◽

Minko Markovski

Keyword(s):

Corporate Performance ◽

Positive Impact ◽

Listed Companies ◽

State Ownership ◽

Control Measures ◽

Government Ownership ◽

Strong Trend ◽

Two Samples ◽

The Impact ◽

Positive Effect

AbstractThis study attempts to identify whether government ownership has an effect on corporate performance, such as Return on Assets (ROA), Price to Book value, and Profits for a sample of 102 listed companies on the UAE stock exchanges and a subsample of 17 banks listed on the same bourses over a period of 31 quarters. In the case of the sample of 102 companies, government ownership has a positive impact on some of the corporate performance indicators, as well in the banking subsample. In addition, the analysis evaluates the impact of state ownership on debt accumulated across the two samples. The results indicate that state ownership reduced the need to accumulate debt in general across the larger sample. However, focusing on banks, state ownership facilitates borrowing and accumulating debt. The results point to the positive effect of state ownership on corporate performance. Further, state ownership eases constraints on banks’ borrowing as it boosts confidence in the outlook, facilitating higher ratings and cheaper sources of funding. In the case of the UAE, similar to some other countries, where there is a strong trend toward government ownership in listed companies and banks, it has a positive effect on their performance for the period 2008–2016, i. e., there is a positive relationship between the block-holder ownership and firms’ performance, subject to efficiency control measures.

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Factors influencing corporate sustainability disclosure practices: empirical evidence from Indian National Stock Exchange

Journal of Financial Reporting and Accounting ◽

10.1108/jfra-01-2021-0023 ◽

2021 ◽

Vol ahead-of-print (ahead-of-print) ◽

Author(s):

Kishore Kumar ◽

Ranjita Kumari ◽

Archana Poonia ◽

Rakesh Kumar

Keyword(s):

Empirical Evidence ◽

Information Disclosure ◽

Corporate Sustainability ◽

Sustainability Reporting ◽

Free Cash Flow ◽

Government Ownership ◽

Content Type ◽

Flow Capacity ◽

Sustainability Disclosure ◽

The Impact

Purpose This study aims to evaluate the nature and extent of sustainability disclosure practices of publicly listed companies in India. Further, it investigates the impact of potential determinants on the sustainability disclosure of companies. Design/methodology/approach The study analyzes data of 75 top listed nonbanking companies operating in India included in NIFTY100 Index for the years 2014-2015 to 2018-2019. In the present study, environment, social and governance disclosure dimensions were considered to evaluate the sustainability reporting performance of companies using content analysis. Panel data analysis was conducted to investigate the impact of various factors on the extent of sustainability information disclosure. Findings Results indicate that environmentally polluting industries disclose significantly higher sustainability information than non-polluting industries in India. The empirical findings suggest that determinants such as company size, age, free cash flow capacity, government ownership and global reporting initiative (GRI) usage positively related to the extent of corporate sustainability disclosure. Contrary to the expectations, financial leverage and profitability were found to be negatively related to the sustainability disclosure of companies in India. Practical implications This study provides empirical evidence for regulators, practitioners and corporate strategists to assess the progress in the sustainability reporting landscape in India. The finding implies that large and established companies can reduce legitimacy costs through higher sustainability information disclosure. Interestingly, this premise did not hold in the case of high leveraged and profitable companies. Overall findings can also help policymakers to incorporate necessary reforms to improve sustainability reporting in India. Originality/value This study is one of the first studies to investigate the nature, extent and potential determinants of corporate sustainability disclosure in India. The paper adds to the existing literature on sustainability reporting by providing empirical evidence on the relationship between sustainability reporting and potential determinants such as government ownership, size, leverage, profitability, age, free cash flow capacity, industry and GRI usage.

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