An Assessment of Selected Ghanaian Banks’ Internal Control and Corporate Governance

Abstract

The general objective of the study is to assess the effectiveness of internal control and corporate governance in the Ghanaian banking industry. The study was basically a case study based and was approached quantitatively. Five banks (Absa Bank Ghana, Ecobank, Standard chartered Bank, Agricultural Development Bank, and Ghana Commercial Bank) were sampled for the study. Four hundred (400) respondents from the above sampled banks helped offer meaningful and enough information to answer the study questions. Non-probability sampling was used for this study’s sample strategy. The study made use of questionnaires to gather the data. In analyzing the data, the study made use of descriptive statistics, Kendall’s coefficient of concordance (w), correlations and regression analysis techniques. The study found that internal controls and corporate governance in the Ghanaian banking industry are effective. The results of the study confirm that internal auditors and staff have the role to review systems established to ensure compliance with policies, procedures, plans, laws, and regulations impacting operations and reports; to detect and prevent illegal practices; to report illegal acts; provide information to management; act with competence; make a report to the company about the problems and follow the corporate policy in ensuring effective internal control in the Ghanaian banking industry. Keywords: Compliance, Corporate governance, Corporate policy, Internal Control, Kendall’s coefficient of concordance (w).