Corporate Governance, Regulatory Compliance And Performance Of Banks In Sub Sahara Africa

Abstract

The rudy assessee! the impact o f corp or are governance on performance as well as regulatory co mpliance of banks in Sub·Saharan An·ica. The study adopted the quantitati ve method approac h. T he quantitative daw was co ll ec ted fro III the ann ual n~ p o n of the banks f'rolll 20 11 to 2022. T he study used the systelll gen erfl li zed meth od 0 1' Illoillent tlVO step estilllator with 41 li sted bfl nks 11'0111 li ve Sub Sil hara Afri can countri es, The res ults reveflled that board size, boa rd independ ence, audit co millinee, board diversity, m<1 nngerial ownership Cl iid own\.' I'ship co nce ntrat ion preciict pcrlo rmance w hen Illea sured with rctum on asset. The stuciy alSll lound th flt board size, boa rd inciepenci cll ce, fl udit eO l1ll11i~r ee, board di versit:" instituti olwl ownership and ownership conc entrati on were predictOl's o f perforill ance with net interest inco lll e, /\11 the variabl es wCl'e al so pl'edictors w irh the e:\ception of in stitutiomti and conee ntl'at ed lll a n agCl'~ lI'itll ret urn on equity Tile study also reveal ed that board size. boa rd inciepende ll ce. audit cO llllllitlee. board di ve rsity and Illanage ri al ownership wcre pred ictors 01' regulatory cOlllpliance, With I'espect to the modera ting effect of' ty pe of bank on the relati onship between cO I'J)oratc go vern ance nnd perlorill anee. ty pe 01' bilnk signifi ca ntly Ill Llciel'illc~ S the relati onship between cor porate governnn ce anci retul'll 0 11 as se t. A part li'olll in stituti onal ownership which was signilkant the Ill oderating effecr of t:' pt' of' bank wel'e all in signilieant on the relati onship between eorpornte governance and regulatory performance, The study concluded that corporate gl)Vernanc~ predi ct perfo rillance as well as regulatory performanc e, It is recolllillended that. regulalOrs should li'olll tillle to til1le. modil'y anci update the corporate governance guidelines to meet the current trend or business flnci best practices,