Successful Implementation of Corporate Governance Mechanisms in Banks

Dr. Abdullah Ahmed Aldaas, Dr. Suleiman Jamal Mohammad and Dr. Mohammad Yousef Abuhashesh
Additional contact information
Dr. Abdullah Ahmed Aldaas: Middle East University, Amman, Jordan Author-Orchid id: http://orcid.org/0000-0002-4524-8566
Dr. Suleiman Jamal Mohammad: Princess Sumaya University for Technology, Amman, Jordan Author-Orchid id: http://orcid.org/0000-0002-7430-3691
Dr. Mohammad Yousef Abuhashesh: Princess Sumaya University for Technology, Amman, Jordan Author-Orchid id: http://orcid.org/0000-0001-7460-450X

Journal of Social Sciences (COES&RJ-JSS), 2019, vol. 8, issue 4, 692-710

Abstract: Corporate Governance is significant in managing the financial sector particularly banks of both the developing and the developed nations. Major corporate collapses worldwide revealed the presence of weak corporate governance system. The researcher conducted survey from the finance managers of the five commercial Jordanian banks which revealed that good corporate is significant for the performance of the banks. Good corporate governance balances the conflict of interest among the stakeholders. The participants believed that good corporate governance mechanisms such as transparency, privacy, legislations, code of conduct and clarity of procedures can enhance the efficiency of the banks. They believed that good corporate governance mechanisms effects the bank risks such as it protects the shareholders, stakeholders and reduces or transfers risk and ensures the stability of the economy. Hence, good corporate governance is essential for achieving success of the banking sector and in turn for the economic growth. The participants suggested that implementing good corporate governance in the banks leads to the integration of the capital markets, better solutions of the corporate governance issues and helps in building trust, integrity and transparency.

Keywords: Corporate Governance; Corporate Governance in banks; Corporate Governance mechanisms (search for similar items in EconPapers)
Date: 2019
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

Downloads: (external link)
http://centreofexcellence.net/J/JSS/PDFs/jss.2019.8.4.692.710.pdf (application/pdf)
https://doi.org/10.25255/jss.2019.8.4.692.710 (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:jso:coejss:v:8:y:2019:i:4:p:692-710

Access Statistics for this article

Journal of Social Sciences (COES&RJ-JSS) is currently edited by Nasir Ali Shamsi (Editor-in-Chief) and Dr.Neda Khan

More articles in Journal of Social Sciences (COES&RJ-JSS)
Bibliographic data for series maintained by COES&RJ LLC. Maintainer-Workplace-Name: Centre of Excellence for Scientific & Research Journalism - COES&RJ LLC Maintainer-Address: 10685-B Hazelhurst Dr., Houston, TX 77043, USA () and ().