Anti-corruption glossary

Country by country reporting

Country by country reporting is a form of financial reporting in which multinational corporations produce certain financial data disaggregated by country and for each country in which they operate. This data includes sales and purchases within the corporation and externally, profits, losses, number of employees and staffing costs, taxes paid and tax obligations, summaries of assets and liabilities. Currently, consolidated financial statements are the norm.

Why it matters

Mandatory disclosure of payments and operations on a country-by country basis mitigates political, legal and reputational risks and generates timely, disaggregated and easily comparable data. Companies should ensure high levels of corporate transparency, since this also allows citizens to hold companies accountable for the impact they have on their communities.

Image: Transparency International, Nick Hilditch