Abstract
“Well begin is half done” an old proverb is appropriate for the Indian banking system to understand the significance of corporate governance. Banks are the backbone of the economy. The failure of corporate governance in banking institutions is raising a question on the sustainability of the financial sector in the economy. The objective of this paper is to determine the factors responsible for corporate governance failure and to analyze the impact of corporate governance failure on the acceptability of the banking system in India. The study has used the primary data to analyze the impact through a self-structured questionnaire through SPSS version 24. A total of 398 useful respondents of the Delhi region participated in the study. The results of the study revealed that the failure of corporate governance is having a significant impact on the banking system in India. Failure of corporate governance enhances the risk probabilities, and people lose their trust towards banks which are having a highly negative impact on the economy in the short as well as long run.
Published Version
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