A Survey of Internet Financial Reporting in Egypt

Abstract

Internet financial reporting (IFR) is fast becoming the norm in most western countries, however little is known about IFR practices in developing countries. This paper investigates the extent and variety of practices of internet financial reporting (IFR) by companies listed in the Egyptian Stock Market (CASE). This paper attempts to add to the literature on IFR by providing evidence of IFR practices in Egypt. Out of 213 companies which is the number of companies listed in 2010 the 100 companies in index EGX 100 were investigated to ascertain whether they maintain websites and/or if these sites are being used for communicating financial information. Only 36 of the listed companies on EGX 100 were found to operate websites, with even less (only twenty nine) engaging in IFR. However, IFR is not restricted to the publication of annual financial statements only as the companies also disclose financial highlights through their websites. The results of this study indicate that IFR is still at an embryonic stage in Egypt and there are lots of opportunities and challenges for all stakeholder parties in corporate reporting.