Board Governance and Corporate Sustainability Disclosure. The Moderating Effect of Foreign Managerial Ownership: Evidence from Nigerian Listed Firms

The study investigated the relationship between board characteristics and sustainability disclosure
(SD) among Nigerian listed firms, with the moderating effect of foreign managerial ownership for
five years (2018 – 2022) with a total population of 157 listed firms. The study used a stratified
sample technique to arrive at the sample size of 106 listed firms covering five years with 530 firm
year observations. The study adopted a quantitative research design, using secondary data from
annual reports of Nigerian listed firms. The data was analyzed using regression analysis to
determine the relationships and the moderating effect. The study found that board independence,
board meetings and directors' qualifications, have a significant positive impact on SD. Board size
shows a negative association on SD. The presence of foreign managerial ownership was found to
strengthen the relationship between board independence, board meetings and directors’
qualification and SD, suggesting that foreign ownership may bring about better governance
practices that enhance transparency. The study concludes that board characteristics play a crucial
role in shaping SD among Nigerian listed firms. The moderating role of foreign managerial
ownership underscores the importance of global corporate governance practices in improving
disclosure standards. The study recommends that Nigerian firms should enhance board
independence and prioritize the qualifications of their directors to improve SD. In addition,
attracting foreign managerial ownership may further strengthen governance and transparency
practices. Regulators are also encouraged to set clear guidelines to enhance sustainability
reporting