Select Currency
Translate this page

CORPORATE GOVERNANCE PRACTICE IN THE NIGERIAN BANKING SECTOR

Format: MS WORD  |  Chapter: 1-5  |  Pages: 75  |  403 Users found this project useful  |  Price NGN3,000

GET THE COMPLETE PROJECT

CORPORATE GOVERNANCE PRACTICE IN THE NIGERIAN BANKING SECTOR

 

CHAPTER ONE

INTRODUCTION

1.1   BACKGROUND TO STUDY

There has been renewed interest in the corporate governance practices of modern corporations since 2001, particularly due to the high profile collapses of a number of large U.S firms such as Enron Corporation and World Com. the existence of corporate governance is as long as entities exist. Corporate governance is a multi-faceted subject. An important theme of corporate governance is to ensure the accountability of certain individuals through mechanisms that try to reduce or eliminate the principal-agent problem. Corporate is derived from the word ‘corporation’ which is defined by the Oxford Advanced Learners’ Dictionary as ‘a group of people having authority to operate in a single unit with a separate legal existence’. However, the corporate body even though it is legally authorized to act, is incapacitated. Consequently, its acts have to be delegated to human beings who could be regarded as governors or managers. Governance is an act of governing. It then follows that corporate governance is concerned with ways in which all parties interested in the well-being of the firm (stakeholders) attempt to ensure that managers take measures or adopt mechanisms that safeguards the interest of the stakeholders.

Corporate governance regulates the contractual relationship between stakeholder groups, in particular, the principal-agent relationship between shareholders and management. In a paper presented at a conference on corporate governance in Accra, Ghana, Oyejide and Sayibo (2001) opined that managers in some unforeseen circumstances assume contingent control that produce them with potentials to operate against investors best interest and as such conceal some pieces of information from external investors. This therefore calls for corporate governance in order to align the interest of the managers with that of the stakeholders. As reported by the Central Bank of Nigeria in code of Corporate Governance for Banks in Nigeria (2006: 1), “specifically for financial sector, poor corporate governance was identified as one of the major factors in virtually all known instances of a financial institution’s distress in the country”. Banking in Nigeria cannot function as well if there is no sound corporate governance practice, consequently, this research is done in order to assist the banking sector in promoting the adoption of sound corporate governance in Nigeria. Recognizing that different structural approaches to corporate governance exists across countries, this research encourage practices, which can strengthen corporate governance under diverse structures.

1.2   STATEMENT OF THE PROBLEM

Banking supervision cannot function as well if sound corporate governance practice is not in place and consequently, banking supervisors have a strong interest in ensuring that there is efficient, transparent and effective corporate governance at every banking sector. There is need for banks to set strategies for their operations and establish accountability for executing these strategies. Corporate governance structure spells out the rules which directly affects the performance of a bank by having effect on the managing and technical effectiveness of the bank. Therefore, through influence on bank decisions and plans with regards to innovations, markets and output, the governance arrangements should have an impact on the performance of banks. Consequently, an attempt is made in this work to proffer solutions to the following research questions: Does corporate governance intend to improve banks efficiency, effectiveness and transparency? Corporate governance practices intend to increase banks investors and stakeholders? Does corporate governance have any link with the performance of banks in Nigeria? Should other stakeholders, such as customers and employees have a say concerning corporate governance?

1.3   OBJECTIVES OF STUDY

Corporate governance of banks would build up the trust and confidence of both local and foreign investors and also attract long-term capital. To benefit maximally from capital markets, globally, good governance practices must be put in place.

However, the basic objectives of this study are:

To determine the extent to which corporate governance practice affects the Nigerian banking sector.

To ascertain to what extent corporate governance practices has helped to reduce risk and promote performance in the Nigerian banking sector.

To determine whether the shareholders or owners of the banking business are informed of corporate governance developments or practices that affect the banking sectors.

To determine the extent to which corporate governance has helped to prevent systemic crisis in the Nigerian banking sector.

To find out if the banking sector is efficiently and effectively managed due to corporate governance practices.

1.4   SCOPE OF STUDY

The scope emphasizes the spread of the study. The study is centered on examining the role of corporate governance practices in the Nigerian banking sector. The study is intended to cover all banks across the country but will however be restricted to 10 banks in Edo State (Benin City) since most prerequisite data needed for the work can be obtained within the area. The banks include:

Access Bank of Nigeria Plc

Intercontinental Bank Plc

Wema Bank Plc

Zenith Bank Plc

First Bank of Nigeria Plc

United Bank of Africa Plc

Guaranty Trust Bank Plc

Oceanic Bank International

First City Monument Bank Plc

Platinum Habib Bank Plc

The study will be carried out with the use of questionnaire.

1.5   RELEVANCE OF STUDY

Corporate governance is the mechanism by which individuals are motivated to align their behaviour with overall corporate goals. The benefits to be derived from corporate governance in the Nigerian banking sector cannot be overemphasized and thus this study could serve as a suggestion to Nigerian banks that they can improve their bank performance through a determined effort to improve their corporate governance. This study could also help in the enlightenment of existing and potential investors of matters concerning corporate governance of banks in Nigeria. It will afford the general public an insight into the importance of effective and transparent corporate governance practices. Also, this research would serve as an addition to the existing materials on corporate governance practices in the Nigerian banking sector. Lastly, this research will enable students to gain proper understanding of corporate governance in the Nigerian banking sector, thereby increasing and improving the awareness and knowledge of students.

1.6   HYPOTHESIS OF STUDY

Hypothesis is an indispensable research tool which provides the relationship between research problems and location empirical evidence that may provide the solution to the problem, which could either be true or false. Consequently, the use of hypothesis will be employed here in this research work. In each of the hypothesis, we shall have the Null hypothesis represented by H0 and the Alternative hypothesis represented by H1.

The following will be the research hypothesis:

1. H0: Corporate Governance does not help to improve

Banks’ efficiency, effectiveness and transparency.

H1: Corporate Governance helps to improve Banks’

efficiency, effectiveness and transparency.

2. H0: Corporate Governance does not help to increase

Banks’ investors and stakeholders.

H1: Corporate Governance helps to increase Banks’

investors and stakeholders.

3. H0: There is no link between Corporate Governance and

performance of Banks’ in Nigeria.

H1: There is a link between Corporate Governance and

performance of banks in Nigeria.

1.7  LIMITATION OF STUDY

Co-operation from respondents to supply enough information in the questionnaire created problem of inadequate data for analysis. Inadequate resources was also a limitating factor as a result of the fact that ethics is a guide for behaviour and a set of principles that govern the operation of a bank and thus information released to the researcher were not in detailed form. Lack of funds and time was also a limitation and as a result the geographical coverage of the research was restricted to Edo State (Benin City).

GET THE COMPLETE PROJECT

Not What You Are Looking For?



For QUICK Help Call Us Now!

+234 813 2926 373

+234 701 5050 881


Here's what our amazing customers are saying

Emmanuel Essential
Kogi state University
I actually took the risk,you know first time stuff But i was suprised i received as requested. I love you guys 🌟 🌟 🌟 🌟
Very Good
Azeez Abiodun
Moshood Abiola polytechnic
I actually googled and saw about iproject master, copied the number and contacted them through WhatsApp to ask for the availability of the material and to my luck they have it. So there was a delay with the project due to the covid19 pandemic. I was really scared before making the payment cause I’ve been scammed twice, they attended so well to me and that made me trust the process and made the payment and provided them with proof, I got my material in less than 10minutes
Very Good
Gbadamosi Solomon Oluwabunmi
Lasu
Swift delivery within 9 minutes of payment. Thank you project master
Excellent
JONNAH EHIS
Ajayi Crowther University, Oyo
I was scared at first when I saw your website but I decided to risk my last 3k and surprisingly I got my complete project in my email box instantly. This is so nice!!!
Excellent
MATTHEW NGBEDE
Ahmadu Bello University
I wish I knew you guys when I wrote my first degree project, it took so much time and effort then. Now, with just a click of a button, I got my complete project in less than 15 minutes. You guys are too amazing!
Excellent
Temitayo Ayodele
Obafemi Awolowo University
My friend told me about iprojectmaster website, I doubted her until I saw her download her full project instantly, I tried mine too and got it instantly, right now, am telling everyone in my school about iprojectmaster.com, no one has to suffer any more writing their project. Thank you for making life easy for me and my fellow students... Keep up the good work
Very Good
Stancy M
Abia State University, Uturu
I did not see my project topic on your website so I decided to call your customer care number, the attention I got was epic! I got help from the beginning to the end of my project in just 3 days, they even taught me how to defend my project and I got a 'B' at the end. Thank you so much iprojectmaster, infact, I owe my graduating well today to you guys...
Excellent
Ibrahim Muhammad Muhammad
Usmanu danfodiyo university, sokoto
It's a site that give researcher student's to gain access work,easier,affordable and understandable. I appreciate the iproject master teams for making my project work fast and available .I will surely,recommend this site to my friends.thanks a lot..!
Excellent
Dau Mohammed Kabiru
Kaduna State College of Education Gidan Waya
This is my first time..Your service is superb. But because I was pressed for time, I became jittery when I did not receive feedbackd. I will do more business with you and I will recommend you to my friends. Thank you.
Very Good
Joseph M. Yohanna
Thanks a lot, am really grateful and will surely tell my friends about your website.
Excellent

HOW TO GET YOUR COMPLETE PROJECT INSTANTLY

  • Select 3 Project Topics of your choice from your Department.
  • Submit the 3 topics to your Supervisor for Approval.
  • Call Our Instant Help Desk on 0813-292-6373 and Get Your Complete Project Material Instantly.
  • All project materials on this website are well researched by professionals with high level of professionalism.

FREQUENTLY ASKED QUESTIONS

How do i choose a Project Topic?

Look for your department and select any topic of your choice

I have a fresh topic that is not on your website. How do I go about it?

How fast can i get a complete project from your website?

Within 15 minutes if the exact project topic is on our website

Is it a complete research project or just materials?

It is a Complete Research Project i.e Chapters 1-5, Abstract, Table of Contents, Full References, Questionnaires / Secondary Data

One of your topics suites my project, but the case study is different. What do i do?

Call Our Instant Help Desk Now: (+234) 813-292-6373 and you will be responded to immediately

How do i get my complete project?

Your Complete Project Material will be sent to your Email Address in Ms Word document format

Can I get my Complete Project through WhatsApp?

Yes! We can send your Complete Research Project to your WhatsApp Number

What if my Project Supervisor made some changes to a topic i picked from your website?

Call Our Instant Help Desk Now: (+234) 813-292-6373 and you will be responded to immediately

Do you assist students with Assignment and Project Proposal?

Yes! Call Our Instant Help Desk Now: (+234) 813-292-6373 and you will be responded to immediately

What if i do not have any project topic idea at all?

Smiles! We've Got You Covered. Chat with us on WhatsApp Now to Get Instant Help: (+234) 813-292-6373

How can i trust this site?

We are well aware of fraudulent activities that have been happening on the internet. It is regrettable, but hopefully declining. However, we wish to reinstate to our esteemed clients that we are genuine and duly registered with the Corporate Affairs Commission as "PRIMEDGE TECHNOLOGY". This site runs on Secure Sockets Layer (SSL), therefore all transactions on this site are HIGHLY secure and safe!