The extent of internet financial disclosure : a case of Jordanian companies

الملخص EN

This paper examined the usage of the Internet as a tool for financial disclosure in Jordan in 2006.

Levels of usage are computed by means of a disclosure index, which contains comprehensive financial and non-financial items representing the current situation of online Jordanian companies.

76 out of 215 listed Jordanian companies in 2006 had accessible and active websites.

The overall Internet financial disclosure percentage, as measured by means of a disclosure list containing 28 items, was 63%.

The online disclosure varies among companies' sectors.

Drawing on the disclosure list, companies in banking sector scored the highest disclosure percentage, 91%.

Percentage of disclosure in manufacturing, services and insurance sectors were a bit close; they scored 58%, 52%, and 51%, respectively.

The study showed that Jordanian companies have used the Internet as a tool for financial disclosure, but they still need to exploit the full potential of Internet financial disclosure.

Keywords: Financial disclosure; Internet; Jordanian companies