Corporate Governance And Profitability Of Banks In Nigeria (A Study Of First Bank Plc)

ABSTRACT

The study attempted to examine  corporate governance and the profitability  of banks in  Nigeria.   The main objective of the study is  to examine the effect of corporate governance  on the profitability  of banks in Nigeria.   To achieve  the objectives of the study, expost facto research design was adopted.  The researcher adopted  secondary  data  in  getting   the  required  information.    The  data  was collected from annual report and accounts of First bank of Nigeria Plc from 2011 to 2015.   In testing  the hypotheses,   multiple  regression  analysis  was used.  The findings revealed that audit committee has a positive  relationship  with return on capital  employed  while  board  size   and  board  composition   have  a  negative relationship  with return on capital  employed   of first bank of Nigeria  Plc.  The research recommends that corporate governance should promote accountability, transparency,   and  general  participation   of  stockholders,   which  is   central  to creating  and sustaining   the  enabling   environment   of  wealth  creation  and an increase in bank performance.