Impact of Corporate Governance and Financial Performance of Money Deposit Banks in Nigeria

Omole Ilesanmi Isaac and Adewole Oyedeji
Additional contact information
Omole Ilesanmi Isaac: Department of Accountancy, Federal Polytechnic Ile-Oluji Ondo State
Adewole Oyedeji: Department of Accounting and Finance, Birmingham City Business School United Kingdom

International Journal of Research and Scientific Innovation, 2024, vol. 11, issue 6, 392-401

Abstract: The Nigerian banking sector’s resilience faces scrutiny following a series of crises, prompting a reevaluation of corporate governance practices. This study investigates the relationship between corporate governance and financial performance of Deposit Money Banks (DMBs) in Nigeria. Utilizing panel regression analysis, the study examines board size, CEO duality, and board independence as governance proxies, with earnings per share (EPS) as a measure of financial performance. Descriptive statistics reveal diverse governance dynamics among DMBs, with regression results indicating a positive (coefficient of 1.027416) but statistically insignificant association between board size and EPS (0.0916 > 0.05). Surprisingly, board independence shows a negative influence on EPS (with the coefficient of -0.261614). The absence of CEO duality aligns with best governance practices revealed a positive influence on financial performance (Coefficient of 2.239216). Overall, the study highlights the significance of tailored governance practices in shaping DMBs’ financial performance, emphasizing the need for meticulous approaches to enhance outcomes.

Date: 2024
References: View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.rsisinternational.org/journals/ijrsi/d ... -issue-6/392-401.pdf (application/pdf)
https://rsisinternational.org/journals/ijrsi/artic ... it-banks-in-nigeria/ (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bjc:journl:v:11:y:2024:i:6:p:392-401

Access Statistics for this article

International Journal of Research and Scientific Innovation is currently edited by Dr. Renu Malsaria

More articles in International Journal of Research and Scientific Innovation from International Journal of Research and Scientific Innovation (IJRSI)
Bibliographic data for series maintained by Dr. Renu Malsaria ().