Journal of Accounting and Management Vision

Journal of Accounting and Management Vision

Examining the theories of financial transparency and institutional quality in the banking industry

Document Type : Original Article

Authors
1 studentMaster's student in accounting, Nasser Khosrow Institute of Higher Education, Saveh, Iran.
2 n
Abstract
The financial literature shows that transparency in the financial market improves the interest and well-being of investors in the financial market and the financial system as a whole. It has been empirically stated that transparency in the financial sector increases investors' trust in the financial system and reduces financial costs. , reducing credit allocation limits. And by reducing the credit risk, they increase the stability of the financial system. Transparency of information is considered the basic pillar of investors' trust. The greater the transparency of information, the greater the level of investor confidence, and the more investors will trust banks that publish more information related to capital fluctuations. The disclosure of banking information will increase the transparency of information and over time will increase the average price index and ultimately increase the positive profit margin of banks.
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