Ensuring trust in sustainability financial reports: the role of AI and blockchain in metadata standardization

Purpose This paper addresses metadata incoherence of corporate sustainability reporting in Saudi Arabia and UAE. The study examines how blockchain and artificial intelligence technologies can promote standardization, reliability and transparency of sustainability metadata, particularly in increasingly digitally maturing economies. Design/methodology/approach According to technology–organization–environment (TOE) and institutional theory, this paper examines a conceptual model that includes seven hypotheses regarding metadata consistency, digital governance, transparency of AI, interaction with stakeholders, and sustainability reporting quality. Using Partial Least Squares Structural Equation Modeling (PLS-SEM) and multi-group analysis (MGA), this paper examines regulatory arrangements, organizational readiness, and relations with stakeholders to see how metadata outcomes are affected within industries. Findings Findings conclude that metadata optimization with AI significantly enhances consistency and interoperability but is reliant upon digital capacity and governance maturity. Heterogeneity of sectoral practices, regulatory landscapes and adoption of AI between the UAE and Saudi Arabia affects metadata quality. Mediation and moderation analysis also shows that governance mechanisms and stakeholder engagement are significant to realize sustainable reporting practices with AI and blockchain technologies. Practical implications The report calls for industry-specific regulatory policy and digital government mechanisms for facilitating AI integration in corporate sustainability reporting. Policymaking, business leadership and technology entrepreneurship have a role in collaborating on efforts to develop industry-specific AI policy strategies for staying in compliance, enhancing data integrity and constructing digital reporting ecosystems on a foundation of trust. Originality/value This regionally focused, evidence-informed study offers practical suggestions for balancing global sustainable development targets with digital reporting systems. The study gives a contextualized examination of Gulf economies' adoption of AI and blockchain to encourage sustainability governance.