Abstract

The paper provided a content analysis on the impact of applying mandatory and voluntary disclosures (MD&VD) in accordance with selected IAS and IFRS (independent variables) on increasing profitability measured by the net profit margin (the dependent variable) in banks listed at Damascus Stock Exchange (DSE). Data from a sample of 11 banks and their financial statements, including all notes, during period from 2010 till 2014 were gathered and processed using the statistical package of social sciences. The main results showed different significant impacts of applying mandatory and voluntary accounting disclosures under selected IFRS on increasing profitability in Syrian banks. However, when testing the separate application of each selected IAS and IFRS, results showed no such impacts, except for IAS18, on increasing profitability in Syrian banks. The main conclusion indicated that there is a need to develop IFRS internationally to lowering flexibility in selected IFRS aiming at increasing mandatory accounting disclosures, and some examples were provided for this purpose. The research also concluded that the Syrian SEC should harmonize with other governmental agencies to commit full application of all IAS and IFRS and, on the other hand, Syrian banks should be encouraged to disclose numerical and descriptive accounting disclosures in line with the IAS and IFRS within the Syrian context.

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