Internal Corporate Governance and the Performance of Commercial Banks in Nigeria

Abstract

The objective of this study is to investigate the effect of internal corporate governance on the performance of companies in Nigeria. The study employed multiple regression analysis. The result of this study revealed that board size is significant but negatively related to the performance of commercial banks. It was discovered that a negative relationship exists between bank performance board size as well as negative relationship exists between shareholders and ROA. That is a reasonable strong correlation exists between poor performance and subsequent increase in board size and independence. Furthermore, the relationship between shareholders and ROA shows a negative effect but it affects the ROA significantly. Based on this, the study recommended that steps should also be taken for mandatory compliance with the code of corporate governance and also there is the need to set up unified corporate governance.