This study investigates the impact of corporate governance on the financial performance of Nigeria’s publicly traded commercial banks. The objective of this study is to determine if board size, board female gender, and board independence have effect on the financial performance of quoted commercial banks in Nigeria. Five (5) quoted commercial banks in Nigeria was examined, ranging from the years 2011 to 2020. Secondary data was used and obtained from the bank’s annual reports published in Nigeria Exchange Group. Cross-Sectional research design was used, and the method of data analysis used was panel multiple regression. Findings revealed that board independence has a significant impact on financial performance ( return on assets) of quoted commercial banks in Nigeria but shows negative relationship with financial performance ( return on assets) of quoted commercial banks, study further revealed that board size has a negative relationship with bank’s financial performance (return on assets) but has significant value on the financial performance (return on assets) , findings also revealed that at least two female board members were represented in every corporate organization studied, female board membership has a positive relationship with banks’ financial performance (Return on Assets), but shows insignificant value on financial performance (return on assets). The study concluded and recommended that, despite some of the independent variables shows insignificant values, Board independent, Board size, Board female gender mechanisms continue to be a critical component of corporate governance in achieving any organization’s objectives, financial or otherwise.
Citation: Orumwense E.K. and Orumwense O. (2023) Effect of Corporate Governance on Financial Performance of Quoted Commercial Banks in Nigeria, European Journal of Accounting, Auditing and Finance Research, Vol.11, No. 4, pp.1-14
Keywords: Banks’, Board Composition, Corporate, Governance, Nigeria, financial crisis
