Effect of Corporate Governance on Investment in Nigeria Banking Industry.
Abstract
This work tried to find out the impact of corporate governance on investment in Nigerian economy with particular interest in the banking industry.
The need for this work is based on the fact that the quality of investments brought into Nigeria by foreign investors is below expectation.
To arrive at its conclusion, the work was carried out based on systematic application of survey research procedures. The survey method was used because of the population involved, hence the need to stratify them in order to discover the relative distributions and correlations.
On identification of the problem, research questions were formed followed by matching hypothetical statements as a guide towards the achievement of the objectives of the study.
Related literature were reviewed to form a direction for the research. In the course of this work, data were gathered both from the primary and secondary sources.
Being a survey research, a sample size of population was determined for the purpose of administering questionnaire in order to collect the necessary information relevant to this work.
Table Of Contents
Title Page i
Certification ii
Approval Page iii
Dedication iv
Acknowledgement v
Abstract vi
Table Of Contents vii
List Of Tables viii
CHAPTER ONE:
- Background Of The Study . . 1
- Statement Of The Problem . . . 5
- Objectives Of The Study . . . 6
- Research Questions . . . . 7
- Research Hypotheses . . . . 7
- Scope Of The Study . . . . 8
- Limitations Of The Study . . . 8
- Significance Of The Study . . . 9
- Brief History Of Study Organizations . . 9
1.10 References . 11
CHAPTER TWO: REVIEW OF RELATED LITERATURE
- Introduction . . . 13
- Corporate Governance Defined . . 14
- Purpose of Corporate Governance . . 16
- Stakeholders In Corporate Governance . . 17
- Principles Of Corporate Governance . . . 18
- Problems Of Corporate Governance . . 19
- Control Of Corporate Governance . . 19
2.8 Investment. 20
- Corporate Governance And Investment . . 21
- Effects Of Corporate Governance On Investment. 22
- Ways To Enhance Investment Through Corporate Governance Adherence 24
References . 27
CHAPTER THREE: RESEARCH METHODOLOGY
- Introduction . . . 29
- Sources Of Data . . 29
- Research . . . 29
- Population Of The . . 30
- Determination Of The Sample . . 31
- Validity Of The . . 34
- Reliability Of The Instrument . . . 34
- Instrument Used For Data Collection . . . 35
- Method Of Data . . 36
- Level Of . . 36
CHAPTER FOUR: DATA PRESENTATION AND ANALYSIS
- Data . . . 37
- Test Of Hypotheses And Data Analysis: . . 50
- Discussions Of Findings: . . 63
CHAPTER FIVE: SUMMARY OF FINDINGS, RECOMMENDATIONS, AND CONCLUSION
- Summary Of Findings . . 66
- Recommendations . . . 67
- Recommended Area For Further Studies . 69
5.4 Conclusion. 70
Bibliography . 72
Questionnaire . 75
Introduction
Background Of Study
The recent spate of corporate failures in Nigeria, especially in the banking industry, has brought once again to the fore the need to re-examine the issues of corporate governance practices in Nigeria.
On August 14, 2009, the Central Bank of Nigeria (CBN) forcefully removed the Chief Executive Officers (CEOs) and the Executive Directors of five commercial banks in Nigeria on the ground of poor corporate governance in their various banks.
Some of the affected banks were regarded as big banks while some of their lesser peers were not affected.
While reiterating the need for good corporate governance in Nigeria, the CBN (2006:2) says that the retention of public confidence through the enthronement of good corporate governance remains of utmost importance, given the role of the banking industry to the economy.
In the United States of America, Weihrich and Koontz (2006:425) assert that since 2001, there has been renewed interest in corporate governance in modern corporations due to the high-profile collapses of a number of US firms such as Enron Corporations, MCI Inc (formerly known as WorldCom), Tyco (a conglomerate) and others.
All these have rekindled the need to ascertain what makes up corporate governance and the attendant reasons for its failures.
Weihrich and Koontz (op.cit) aver that corporate governance is concerned with truth and justice as the expectation of the society, fair competition, advertising, public relation, social responsibility, consumer autonomy and corporate bahaviour.
Bibliography
Adekanye, F (1986), The Elements of Banking in Nigeria, Lagos, F & A Publishers.
Alfaki. M. (2005) Good Corporate Governance: Esentials for Leadership and performance Excellence, the Guardian, July, 25th.
Anyaoku E. (1991) Corporate Governance and the Enterprises Culture: Pointers for Nigeria’s Tradition Economy, Marlborough.
Atedo P. (2009) “Corporate Governance – What Role for Astute Regulator” THISDAY Newspaper, October 30, 2009 p.44.
Black S.B, Jang H. and Kin W. (2003) “Does Corporate Governance Predict Firms Market Values: Evidence from Korea, California: Standard Law School Working Paper No. 237
CACG (1999), Commonwealth Guidelines: Principles For Corporate Governance In The Commonwealth Towards Global Competitiveness And Economic Accountability, Malborough: CACG