IJSRP, Volume 5, Issue 7, July 2015 Edition [ISSN 2250-3153]
Isam Syed Arshad , Talha Muhammad , Ahmad Yahia Mustafa Al Astal
The concern about the corporate social responsibility activities which the organizations provide to their society and stakeholders increased as one reason for living in the era of globalization (Chapple & Moon, 2005). The study attempts to provide empirical evidence on the influence of the 2008 financial crisis on the disclosure about CSR among local banks in the United Arab Emirates. It also attempts to investigate the extent of CSR disclosure on these banks. For that reason, the study examined the annual reports of the local banks which work in the UAE in three different years. These years are 2007, 2009 and 2011. Additionally, this paper investigated the factors which influence the extent of CSR disclosure, namely; the number of the board of directors, the size of the bank, leverage ratio and profit of the bank (profitability ratio). Moreover, the study formulated four null hypothesis based on two theories namely stakeholder theory and legitimacy theory. The findings reveal that, the extent of CSR disclosure increased after the financial crisis. In terms of the factors which influence the extent of CSR disclosure. On the other hand, the multiple regression analysis indicates that the size of the bank, the board of directors and profit of the bank are positively associated with the CSR disclosure, while for the leverage ratio negatively associate with CSR disclosure.