AI-Driven Financial Transparency and Corporate Governance: Enhancing Accounting Practices with Evidence from Jordan
Year: 2025
Type: article
Study design: Observational Study
Abstract: Integrating artificial intelligence (AI) into financial transparency and corporate governance has reshaped how organizations ensure accountability, regulatory compliance, and risk management. This study examines the impact of AI-driven financial transparency on corporate governance and regulatory reform, specifically focusing on Jordan. Utilizing a stratified random sampling approach, data was collected from 564 corporate professionals across key economic sectors, including banking, insurance, services, and industry. A combination of structural equation modeling (SEM) and multiple regression analysis was employed to test the relationships between AI-driven transparency, governance mechanisms, and regulatory frameworks. The results indicate that AI significantly enhances corporate governance effectiveness by improving financial reporting accuracy, risk management, and executive decision-making. Additionally, AI adoption facilitates regulatory compliance by automating monitoring processes and reducing human errors in financial disclosures. However, the findings highlight challenges related to bias in AI algorithms, data privacy concerns, and the need for regulatory adaptation. The study also underscores the necessity of localized AI governance frameworks tailored to Jordan’s corporate landscape to maximize AI’s potential benefits. These findings contribute to the growing body of knowledge on AI-driven governance and provide actionable insights for policymakers, corporate executives, and financial regulators.
Source: Sustainability
DOI: 10.3390/su17093818
Authors: Osama Samih Shaban, Arwa Omoush
Institution: Al-Zaytoonah University of Jordan
Language: English
Subfield: Strategy and Management
Domain: Social Sciences
Open Access status: gold
Estimated APC paid: $2,896
OpenAlex ID: W4409730677