Assessment of Information Transparency Impact on Russian Industries Efficiency

Against the existing problems that the Russian business regularly faces such as low stock market development, the prevailing public sector intervention in the economy, and a weak system of protecting the rights of owners, the problem of corporate governance importance, one of the tasks of which is timely and accurate provision of information, arises. The degree of company information transparency has been long one of the main criteria determining its growth and future development. Opened financial reporting, firstly, increases the level of investor confidence, and secondly, reduces the risks of investing in the company, which leads to the rise of its value. The impact of the current crisis directly affected the level of development of domestic industry. Nowadays it is necessary to attract external funding for production increase and one of the investment resources is attracting foreign capital. In this regard, the problem of information transparency arises, which has become an obligatory criterion for attracting investors in international practice. As a result, based on the sample of 55 companies represented by various Russian industries, the data from which was collected for the period 2004-2007, regression models representing the dependence of company performance expressed in some financial indicators (ROE, ROA, Q Tobin, Market-to -Book Ratio, and EVA), transparency indices and other financial indicators taken from the literature were constructed. As indicators characterizing the degree of company information openness the sub-indexes of information transparency, calculated on the basis of the methodology developed by Standard & Poor's, were considered. Despite the fact that the models did not reveal any significant influence of the transparency subindexes, it is possible to determine the direction of the effect of these variables, which indicates that the main goal of the research has been achieved.