Sustainable Practice of Ifrs And Economic Growth: Evidence From A Case Study on A Developing Country

Sarfaraz Javed (1), Sajjad Nazir (2), Ghulam Mustafa Malik (3), Azeem Ahmad Khan (4), Syed Jalil (5)
(1) Department of accounting and finance, Sohar University, Oman, Oman,
(2) Department of Management, Faculty of Business, Sohar University, Oman,
(3) Department of Business Management, Nizwa university, Oman,
(4) Department of Accounting, Faculty of Business Administration, Al-Baha University , Saudi Arabia,
(5) Department of Management, Faculty of Business, Sohar University, Oman

Abstract

This research aims to investigate whether there is a link between the adoption of International Financial Reporting Standards (IFRS) and the benefits of Foreign Direct Investment (FDI), both of which were significant contributors to Afghanistan's economic growth between 2003 and 2020. This study uses panel integration and causality assessment. It looks into the underlying causes of the problem in terms of short- and long-term partnerships, as well as diversity. The findings of this study support the existence of a positive and significant relationship between the adoption of IFRS and the flow of FDI, as well as the correlation between them. Furthermore, the examination of causes shows that IFRS-related FDI is both a short-term source of EG and a long-term cause of diversification. The analysis of causes demonstrates this. This study investigates Afghanistan and expands on the relationship between IFRS acquisition and FDI income. This research could help developing countries that use IFRS and those that do not use IFRS identify the financial implications of IFRS practices and boost economic growth.

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Authors

Sarfaraz Javed
sarfaraz7216@gmail.com (Primary Contact)
Sajjad Nazir
Ghulam Mustafa Malik
Azeem Ahmad Khan
Syed Jalil
Author Biographies

Sarfaraz Javed, Department of accounting and finance, Sohar University, Oman

Dr. Sarfaraz Javed is an assistant professor of accounting and finance at Sohar University. He earned his Ph.D. in commerce from Aligarh Muslim University, India. He previously taught at Mazoon University College, Oman, where he received substantial research grants. Dr. Javed specializes in sustainable environmental accounting, management accounting, and corporate accounting, with numerous publications in WOS, SCOPUS, ABS, and ABDC journals. Additionally, he coordinates timetables for the faculty of business and reviews papers for prestigious journals and conferences.

Sajjad Nazir, Department of Management, Faculty of Business, Sohar University

Dr Sajjad Nazir is working as an Associate professor in the Faculty of Business at Sohar University, Oman. He has received his Ph.D. degree from Nanjing, China. He has done his bachelor’s degree in business studies from Bolton University, UK and master’s degree from the University of Central Lancashire, UK. Dr Sajjad has more than 10 years of work experience in teaching at HEIs in Pakistan, China, and Oman. 

Ghulam Mustafa Malik, Department of Business Management, Nizwa university

Dr Mustafa received his PhD degree in Commerce (Tourism Management) from Aligarh Muslim University (India) in 2004 and his Master’s degree in Tourism Administration (MTA) from Aligarh Muslim University in 2001. He also Qualified for the UGC-NET examination in Tourism Management in 2004. He is twice the recipient of the University Medal from Aligarh Muslim University (AMU) for securing 1st position in B.SC (Hon’s) 1999 and in MTA 2001.

Azeem Ahmad Khan, Department of Accounting, Faculty of Business Administration, Al-Baha University

Dr Azeem Ahmed Khan is a full-time assistant professor working at Al Baha University, Saudi. He has vast experience in research and teaching in India and Saudi Arabia. His area of research laid various domains of accounting and finance. He has published several Scopus and WOS papers and attended several national international conferences and seminars.

Syed Jalil, Department of Management, Faculty of Business, Sohar University

Dr Syed Aqib is working at Sohar University, Oman in the capacity of Assistant professor. Dr Jalil earned his PhD in Operations Research from Aligarh Muslim University, India, in 2020. He has more than two years of experience in teaching and research. His current research interests include the application of multi-objective programming and other optimisation approaches to logistics, supply chain management, and other related fields.

Javed, S., Nazir, S., Malik, G. M., Khan, A. A., & Jalil, S. (2024). Sustainable Practice of Ifrs And Economic Growth: Evidence From A Case Study on A Developing Country. Innovation Economics Frontiers, 27(2), 57–70. https://doi.org/10.36923/iefrontiers.v27i2.242

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