This paper investigates the critical role of female directors on the boards of Saudi-listed companies and how they influence the relationship between the demand for higher audit quality and family ownership. The results indicate that female directors fully mediate the relationship between audit quality and family ownership. This suggests that the involvement of female directors on boards may enhance the demand for higher audit quality in family-owned firms. These findings corroborate both agency theory, family business, and stakeholder theoretical background. From a practical standpoint, this study offers valuable insights for investors, policymakers, and regulators. It underscores the importance of increasing female representation on the boards of Saudi family-owned firms to promote effective governance and improve organizational transparency.

A This study examines the interplay between environmental, social, and governance (ESG) practices, artificial intelligence (AI) adoption, and financial performance within Saudi Arabia’s financial sector. It investigates whether AI adoption moderates the ESG–performance relationship, reflecting the sector’s ongoing digital transformation under Vision 2030. Drawing on 224 firm-year observations across banks, diversified financials, real estate investment trusts (REITs), and insurance companies, the study employs content analysis of annual reports to identify AI implementation. Panel regression models are used to test the effects of ESG practices on both accounting-based (ROE) and market-based (Tobin’s Q) performance measures, while examining AI’s moderating role. The results reveal that ESG practices significantly enhance accounting-based performance, particularly return on equity, while board size exerts a positive and board independence a negative influence. However, ESG does not significantly affect market-based valuation (Tobin’s Q). Notably, AI adoption negatively moderates the ESG–financial performance link, suggesting short-term challenges in integrating digital transformation with sustainability strategies. This study contributes to literature in three key ways. First, it provides new evidence from financial institutions in a developing economy—Saudi Arabia—where ESG and AI integration remains underexplored. Second, unlike previous research that proxies AI adoption through R&D expenditure, this study captures actual deployment of AI tools in operational activities. Third, it extends the ESG–performance debate by introducing AI adoption as a novel moderating factor. The findings offer actionable insights for managers and policymakers in emerging markets, underscoring the importance of developing organizational capabilities that harmonize AI-driven innovation with ESG principles to foster sustainable long-term value creation.

This research evaluates the effectiveness of implementing International Financial Reporting Standards (IFRS) in reducing earnings management in Saudi Arabia (KSA). Recognizing that earnings management is influenced by multiple factors, the study also examines the role of corporate governance in enhancing the reliability of accounting information. Empirical evidence is drawn from a sample of 51 Saudi listed firms observed from 2014 to 2020. Discretionary accruals (DA), estimated using the model by Dechow et al. (1995), serve as a proxy for identifying earnings management. A multivariate regression analysis is then conducted to investigate the relationship between DA, IFRS adoption, and corporate governance structures. The findings reveal that the independence of the board of directors and the audit committee significantly reduces earnings management in Saudi industrial firms. However, other corporate governance factors, such as the size of the board, the size of the audit committee, and the frequency of audit committee meetings, do not exhibit a significant impact on DA. Based on these results, the study recommends implementing mandatory measures to strengthen corporate governance mechanisms, which could further enhance the quality of financial reporting in a developing economy like Saudi Arabia.

This paper examines whether capital flow management (CFM) and monetary policies effectively reduce lending growth in emerging market economies (EMEs) in the presence of conventional and unconventional monetary policy actions undertaken by advanced economies. We apply a dynamic panel model with fixed effects to a sample of 24 emerging market economies for 2000–2021 using quarterly data and more continuous variables than in other studies rather than limiting the variability using proxies. Capital controls and macroprudential regulation, as CFM policy tools, moderate lending growth. This effect is particularly shown in countries with tighter monetary conditions. Our main findings highlight the useful role of coordinating CFM and monetary policies. This role stands for both fixed and flexible exchange rate regimes. Lastly, we find capital flow management and monetary policies manage to control lending in normal periods, but their coordination is less effective during crises and high volatility periods. First published online 07 November 2023 Keyword : capital flows management, monetary policy, lending growth, interaction