Abstract
This study examined the compliance level of IAS 24, “Related Party Disclosures” of banks in Ghana and determined some firm specific characteristic that influence the level of disclosure. Using the quantitative research approach, the study was conducted on thirteen banks in Ghana constituting 56% of the entire population. Secondary data was obtained from annual reports of the banks and related published articles. The study again identified the most common type of related party transactions done by Banks in Ghana. Findings revealed that the level of compliance with IAS 24 among Banks in Ghana is relatively low. The study again found that Board Size, Company Size, Type of Auditor, Listing, and profitability has a positive influence on the level of disclosure. Findings also revealed that only Company Size is statistically significant with the level of compliance of IAS 24 among Banks in Ghana. 
 JEL Classification Codes: A19, B10, B25, C10, C53.
Highlights
The failure of several firms across the world has been attributed to the unavailability and nondisclosure of information regarding related party transactions (RPTs) (Rahman, 2018)
SUMMARY OF FINDINGS The main objective of this research is to assess the level of compliance of Related Party Disclosure (IAS 24) by Banks in Ghana
Ownership concentration had a negative relationship with the level of IAS 24 compliance and was insignificant. It can be deduced from the findings of study that compliance level of IAS 24 by banks is poor in Ghana
Summary
Background The failure of several firms across the world has been attributed to the unavailability and nondisclosure of information regarding related party transactions (RPTs) (Rahman, 2018). A recent report by the Bank of Ghana (BoG) into the collapse of some commercial banks in Ghana has revealed some directors of the collapsed banks used a carefully spun web of related party transactions to grant huge loans to themselves and their associates without disclosing such transactions (Mustapha, 2018). This could be possibly attributed to the lack of inadequacy of comprehensive IAS compliance mechanisms in the country. Evidence on the level and extent of compliance of IAS 24 in Ghana remains limited despite its adoption several years ago (Appiah, Vitor, Mireku, & Ahiagbah, 2016)
Sign-in/Register to view highlights & summary Sign-in/Register to access full text options 
Free) 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a call
