<abstract xmlns="http://www.w3.org/1999/xhtml"><p>The purpose of this research paper is to explore the role of corporate governance of banks (independence of the board, board size, CEO duality, audit committee independence, managerial ownership) to boosting up the bank’s efficiency. The study uses bank size, macro-economic conditions, banking structure and economic freedom as control variables. The sample size of the study is 21 Pakistani banks for the period of 2007-2016 and fixed effect panel regression estimation technique is used for data analysis. The results suggest that corporate governance has a statistically significant negative impact on management efficiency, positive effect on profit efficiency and cost efficiency of the banks. Moreover, the findings show that operating efficiency turned out to have a statistically insignificant relationship with corporate governance. Reforms of corporate governance should be adopted efficiently and effectively to boost the banking sector efficiency.</p></abstract>

The purpose of this research paper is to explore the role of corporate governance of banks (independence of the board, board size, CEO duality, audit committee independence, managerial ownership) to boosting up the bank’s efficiency. The study uses bank size, macro-economic conditions, banking structure and economic freedom as control variables. The sample size of the study is 21 Pakistani banks for the period of 2007-2016 and fixed effect panel regression estimation technique is used for data analysis. The results suggest that corporate governance has a statistically significant negative impact on management efficiency, positive effect on profit efficiency and cost efficiency of the banks. Moreover, the findings show that operating efficiency turned out to have a statistically insignificant relationship with corporate governance. Reforms of corporate governance should be adopted efficiently and effectively to boost the banking sector efficiency.

Role of Corporate Governance in Bank’s Efficiency in Pakistan

Studies in Business and Economics

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

{"article-title":"Role of Corporate Governance in Bank\u2019s Efficiency in Pakistan"}

The purpose of this research paper is to explore the role of corporate governance of banks (independence of the board, board size, CEO duality, audit committee...

Role of Corporate Governance in Bank’s Efficiency in Pakistan

Online veröffentlicht: 20. Mai 2020

Seitenbereich: 243 - 258

DOI: https://doi.org/10.2478/sbe-2020-0018

Schlüsselwörter
Bank’s Efficiency, Corporate Governance, Cost Efficiency, Management Efficiency

© 2020 Saif Ullah, published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

Role of Corporate Governance in Bank’s Efficiency in Pakistan

Online veröffentlicht: 20. Mai 2020

Seitenbereich: 243 - 258

DOI: https://doi.org/10.2478/sbe-2020-0018

SchlüsselwörterBank’s Efficiency, Corporate Governance, Cost Efficiency, Management Efficiency

© 2020 Saif Ullah, published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

Schlüsselwörter
Bank’s Efficiency, Corporate Governance, Cost Efficiency, Management Efficiency