Voluntary accounting disclosure and its importance in evaluating the performance of the Bank of Baghdad according to the CAMELS system

Abstract

The aim of the research is to clarify and determine the role of voluntary accounting disclosure in the process of evaluating banking performance, which has become increasingly important in the recent period as a result of the developments witnessed by the financial markets regarding the type and quantity of information contained in the financial reports of companies, and this is achieved by testing research hypotheses and trying to reach a solution to its problem by trying to determine the extent of dependence of each of the CAMELS indicators on information classified as voluntary or voluntary disclosures within the reports, and within this framework, the research problem revolves around the dependence of all or some of the indicators of the camels system on voluntary accounting information published in financial reports, Is there a relationship between voluntary accounting disclosure in the financial reports of banks and the results of evaluating their banking performance under the camels system  The research is based on two hypotheses, the first of which is the role of voluntary accounting disclosure of banks in assessing banking performance using the six camels indicators, and the second is that some CAMELS indicators rely on voluntary accounting information to varying degrees, The research also aimed at determining the impact of voluntary accounting disclosures of banks in assessing banking performance using the CAMELS system or not, and determining the size and shape of the relationship between the results of the banking evaluation using the CAMELS system and the volume of voluntary accounting disclosure in financial reports in addition to identifying the indicators of the CAMELS system that rely on voluntary accounting information disclosure, Therefore, through the research, the CAMELS system was applied to the Bank of Baghdad and using the method of financial analysis, many conclusions were reached, the most important of which was the study showed the existence of a role for voluntary accounting disclosures in assessing banking performance among the elements of the camels banking evaluation system in the banks sample study and the importance of applying the CAMELS investors have a clearer picture of the bank.