Analysis of Sustainable Development Goals (SDGs) Disclosure in ASEAN: Prioritization and the Impact on Firm Value

Implementation of Sustainable Development Goals (SDG) as a sustainability framework has opened rich opportunities for academic research in accounting to investigate firm’s SDG reporting. This study contributes to provide empirical evidence on association between SDG Disclosure and firm value in ASEAN context. This research explored variety of SDG disclosure targets in the sustainability report and examine the effect on firm value. There are 804 sustainability reports published during 2015-2021 analyzed in this study. Result revealed that all SDG targets have been addressed by the companies in their sustainability practice. However, some targets are more prioritized than other targets. Firms’ contribution towards SDG targets mostly focuses on providing decent works and economic growth, good health and well-being, implementing responsible production and consumption, and taking action toward climate change. Further, SDG disclosure is positive and significantly associated to an increase in firm value which means that it helps investor and wider stakeholder in firm valuation. The results support for evaluating the implementation and achievement of SDG in each country to determine future strategies.

Keywords:
Sustainable Development Goals; Sustainability Reporting; Firm Value