Abstract
A growing body of literature documents how different parties benefit from structured data across the information supply chain. The purpose of this study is to examine the effect of voluntary adoption of the eXtensible Business Reporting Language (XBRL) on price and non-price terms of loan contracting. Using a sample of Belgian private firms, the analyses provide evidence that banks charge lower interest rate spreads to voluntary adopters as compared to non-adopters. The results also show that loan sizes are larger in comparison for voluntary adopters of XBRL. Further, the effect of XBRL adoption is stronger for opaque firms. The results are robust to using different estimation approaches as well as additional tests. The findings are in line with the view that XBRL data filings reduce information processing costs, and contribute to our understanding of the impact of structured data on loan contracting – an implication that may be of interest to regulators and other parties interested in the benefits of structured data across the information supply chain.