Economic growth theories generally explain long-run growth through capital accumulation, productivity gains, technological progress, and the strength of institutional structures. Within this framework, the neoclassical approach emphasises capital accumulation and efficiency, endogenous growth models emphasise knowledge production and innovation, and institutional economics emphasises governance quality and the effectiveness of incentive mechanisms. These perspectives show that sustained growth arises from the interaction among productive investment, continuous technological and organisational learning, and institutions that shape economic behaviour. In this context, companies are obliged to adopt international financial reporting standards to build more robust institutional frameworks, improving transparency, accountability, and the credibility of financial data. Reducing information asymmetries lowers funding costs, deepens investment channels, and supports firms' long-term, productivity-oriented, and R&D-based strategies. At the macro level, improved trust in financial information facilitates more efficient resource allocation. Thus, compliance with such reporting standards reinforces the key mechanisms emphasised by growth theories, capital accumulation, innovation, and productivity, thereby contributing to sustainable economic expansion. This paper investigates the relationship between the asset sizes of companies subject to TFRS and BOBİFRS and economic growth across six sectors from 2018 to 2023. The results show that firms applying TFRS contribute more strongly to economic growth than BOBİFRS.
Öksüz et al. (Wed,) studied this question.