Impact of Corporate Governance on Corporate Cash Holding: Evidence from Non-Financial Firms in Pakistan

Abstract

In this paper the researcher tired to study that how corporate governance effects corporate cash holdings in non-financial firms in Pakistan. For this purpose the researcher on the basis of convenient sampling studied the 22 non financial companies listed on KSE-100 Index from the time period of 2005 to 2010. The researcher took the cash as dependent variable while cash flow, liquidity, leverage, bank debt, market book, size, variability, dividend and others are independent variables. The researcher applied the multiple regression model after checking the data Heterosadacity and with the help of common effect model in STATA SE 10, researcher concluded that the relation between the corporate governance as well as the cash holdings from non financial firms in Pakistan will be negative.