Corporate transparency and investment readiness

Corporate transparency (the extent to which a firm’s actions are observable by outsiders) is thought to be a key success factor for SGBs around the world. A lack of corporate transparency prevents SGBs from accessing finance needed for growth. This project aims to (1) measure corporate transparency on a large scale and (2) examine the short- and long-term causal effects of increased corporate transparency through intensive training on access to finance and firm growth. This study is not only of interest to policymakers and economists, but also a key issue in practice for banks, private equity firms, and other capital providers that want to invest in SGBs but are reluctant to do so because of a lack of corporate transparency.