Corporate governance, risk management and financial performance of listed deposit money bank in Nigeria

This study examined corporate governance, risk control in deposit money banks and how operational problems within commercial banks and information on them in Nigeria has been hoarded to a great extent. The result shows a negative but a significant impact on bank's financial performance. However...

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Autores principales: Abiola Kafidipe, Uwuigbe Uwalomwa, Olajide Dahunsi, Faith Ojone Okeme
Formato: article
Lenguaje:EN
Publicado: Taylor & Francis Group 2021
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Acceso en línea:https://doaj.org/article/e03ccb4fe6e644b1ae5fd51733982ec9
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spelling oai:doaj.org-article:e03ccb4fe6e644b1ae5fd51733982ec92021-12-02T18:31:57ZCorporate governance, risk management and financial performance of listed deposit money bank in Nigeria2331-197510.1080/23311975.2021.1888679https://doaj.org/article/e03ccb4fe6e644b1ae5fd51733982ec92021-01-01T00:00:00Zhttp://dx.doi.org/10.1080/23311975.2021.1888679https://doaj.org/toc/2331-1975This study examined corporate governance, risk control in deposit money banks and how operational problems within commercial banks and information on them in Nigeria has been hoarded to a great extent. The result shows a negative but a significant impact on bank's financial performance. However, a corporate-governance system that is sound increases the profitability of loans as well as the stability of banks. Furthermore, the study finds that board size, board independence, directors’ shareholdings and board meetings are negative while the coefficient number of board committee is positive on Tobin Q. It, therefore, means that there exists between the corporate governance a significant relationship with financial performance. Shareholders, board meetings & members of the board does have negative relationship to performance. In contrast, the coefficient for the number of board sizes, board independence & board committees are positive on ROE-Return on Equity. This shows that any increase in shareholding of directors, the directors of the board and board of directors would result in decreased ROE of deposit money banks (DMB) in the economy of Nigeria. This research then recommends proper corporate risk management practices should be encouraged with financial institutions carrying out frequent quality control checks to ensure compliance.Abiola KafidipeUwuigbe UwalomwaOlajide DahunsiFaith Ojone OkemeTaylor & Francis Grouparticlecorporate governance indicatorrisk management indicatorsprincipal component analysisfinancial performanceBusinessHF5001-6182Management. Industrial managementHD28-70ENCogent Business & Management, Vol 8, Iss 1 (2021)
institution DOAJ
collection DOAJ
language EN
topic corporate governance indicator
risk management indicators
principal component analysis
financial performance
Business
HF5001-6182
Management. Industrial management
HD28-70
spellingShingle corporate governance indicator
risk management indicators
principal component analysis
financial performance
Business
HF5001-6182
Management. Industrial management
HD28-70
Abiola Kafidipe
Uwuigbe Uwalomwa
Olajide Dahunsi
Faith Ojone Okeme
Corporate governance, risk management and financial performance of listed deposit money bank in Nigeria
description This study examined corporate governance, risk control in deposit money banks and how operational problems within commercial banks and information on them in Nigeria has been hoarded to a great extent. The result shows a negative but a significant impact on bank's financial performance. However, a corporate-governance system that is sound increases the profitability of loans as well as the stability of banks. Furthermore, the study finds that board size, board independence, directors’ shareholdings and board meetings are negative while the coefficient number of board committee is positive on Tobin Q. It, therefore, means that there exists between the corporate governance a significant relationship with financial performance. Shareholders, board meetings & members of the board does have negative relationship to performance. In contrast, the coefficient for the number of board sizes, board independence & board committees are positive on ROE-Return on Equity. This shows that any increase in shareholding of directors, the directors of the board and board of directors would result in decreased ROE of deposit money banks (DMB) in the economy of Nigeria. This research then recommends proper corporate risk management practices should be encouraged with financial institutions carrying out frequent quality control checks to ensure compliance.
format article
author Abiola Kafidipe
Uwuigbe Uwalomwa
Olajide Dahunsi
Faith Ojone Okeme
author_facet Abiola Kafidipe
Uwuigbe Uwalomwa
Olajide Dahunsi
Faith Ojone Okeme
author_sort Abiola Kafidipe
title Corporate governance, risk management and financial performance of listed deposit money bank in Nigeria
title_short Corporate governance, risk management and financial performance of listed deposit money bank in Nigeria
title_full Corporate governance, risk management and financial performance of listed deposit money bank in Nigeria
title_fullStr Corporate governance, risk management and financial performance of listed deposit money bank in Nigeria
title_full_unstemmed Corporate governance, risk management and financial performance of listed deposit money bank in Nigeria
title_sort corporate governance, risk management and financial performance of listed deposit money bank in nigeria
publisher Taylor & Francis Group
publishDate 2021
url https://doaj.org/article/e03ccb4fe6e644b1ae5fd51733982ec9
work_keys_str_mv AT abiolakafidipe corporategovernanceriskmanagementandfinancialperformanceoflisteddepositmoneybankinnigeria
AT uwuigbeuwalomwa corporategovernanceriskmanagementandfinancialperformanceoflisteddepositmoneybankinnigeria
AT olajidedahunsi corporategovernanceriskmanagementandfinancialperformanceoflisteddepositmoneybankinnigeria
AT faithojoneokeme corporategovernanceriskmanagementandfinancialperformanceoflisteddepositmoneybankinnigeria
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