Corporate governance and determinants that explain CEO compensation in Indonesia

2011

Masteroppgave i økonomi og administrasjon - Universitetet i Agder 2011 This thesis examines determinants that can help explain CEO remuneration in an Asian emerging market, focusing on Indonesia. Our sample consists of 46 Indonesian stock listed companies, and we use data from recently expanded rules on disclosure to analyze the level and structure of compensation for the CEO - domestically known as the president director. Looking at corporate governance arrangements, firm performance, and CEO characteristics, our empirical evidence reveals a significant positive relationship between firm size and CEO pay. No further significant relationships are found between CEO compensation and our remai…