The Impact of Sustainability Disclosure Standards (GRI) on Enhancing Market Value: An Applied Study of the Bank of Baghdad for the Period 2020–2022

Abstract

This study aims to measure the impact of sustainability disclosure in accordance with the Global Reporting Initiative (GRI) Standards on improving the market value of the Bank of Baghdad during 2020–2022. The study adopted a descriptive-analytical approach by analyzing the content of the bank’s annual and sustainability reports and measuring the level of economic, social, and environmental disclosure. Market value data were obtained from the bank’s financial reports and the bulletins of the Iraq Stock Exchange. Correlation and regression analyses were employed to examine the relationship and effect between the study variables. The findings revealed a statistically significant relationship and effect of sustainability disclosure on the bank’s market value. Greater transparency and disclosure of economic, social, and environmental performance contribute to enhancing investor confidence and improving the bank’s market valuation. The study recommends expanding the scope of disclosure in accordance with GRI Standards, issuing independent and periodic sustainability reports, and integrating non-financial information with financial and market indicators to support more efficient decision-making by investors and other stakeholders.