Debt Maturity Structure and Stock Price Crash Risk in African Economies: The Moderating Role of Accounting Standards
Debt Maturity Structure and Stock Price Crash Risk in African Economies: The Moderating Role of Accounting Standards

Summary/Abstract: This study examines the influence of debt maturity structure on stock price crash risk (SPCR) inAfrican economies, focusing on the moderating role of accounting standards such as the IFRS andnational GAAP. Drawing on data from 514 publicly listed non-financial firms across six countries:Nigeria, South Africa, Kenya, Egypt, Ghana, and Morocco spanning the period from 2007 to 2020,the research employs generalized least squares panel regression to test its hypotheses. The findingsindicate that debt maturity significantly reduces SPCR, with this effect being more pronounced indeveloping economies where robust accounting standards are better enforced. The study revealsthat higher-quality financial reporting frameworks enhance transparency and reduce informationasymmetry, thereby amplifying the beneficial impact of debt maturity on SPCR. These insightsunderscore the critical role of debt maturity and stringent accounting standards in strengtheningfinancial stability and corporate governance. By addressing a notable gap in the literature, thisresearch offers valuable implications for policymakers, regulators, and investors in African markets.

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