What Drives Voluntary Intellectual Capital Information Disclosure? Evidence from Deposit Money Banks in Nigeria

The aim of this study is to explore the determinants of intellectual capital(IC) information disclosure from the perspective of signaling and proprietary cost theories. This study adopted ex-post facto research design. In particular, a data set was drawn from the five-year (from 2012 to 2016) annual reports of 12 Deposit Money Banks (DMBs) operating in Nigeria. The data set collected was analysed by means of panel corrected standard error (PCSE). The study results indicate that whereas corporate age and size have significant positive relationship with IC information disclosure, intellectual capital performance has significant negative association with IC information disclosure. Additionally, corporate profitability is found to have insignificant negative relationship with IC information disclosure. The study results offer useful insights that would assist policymakers and regulators in formulating policies and developing reporting guidelines that, at the moment, are not included in the existing accounting reporting guidelines. Moreover, the paper confirms prior study results in this area and includes such unusually explored IC disclosure driver as IC performance and, thus, extends and deepens existing literature on the determinants of IC information disclosure.