Corporate Governance and Firm Performance: The Role of Transparency & Disclosure in Banking Sector of Pakistan

• Autorzy: Rashid Zaman , Muhammad Arslan , Muhammad Ayub Siddiqui
• Języki publikacji: EN

Abstrakty

EN

Purpose: This purpose of this paper is to empirically examine the relationship between transparency and disclosure and firm performance. Highlighting the importance of corporate governance in banking sector, the paper has focused in depth over its role, level and its impact on performance in banking industry of Pakistan. Design/methodology/approach: The paper access this purpose by constructing transparency and disclosure index for the past five year 2007-2011, using proxies for three sub-categories which are board and management structure disclosure, ownership structure disclosure and financial transparency disclosure. The paper also investigated structural changes of T&D Index and its effect on bank financial performance over the sample of 30 banks operating in Pakistan. Findings: Empirical analysis results by using ordinary least square regression model, reveals that financial performance is positively related to the transparency and disclosure and their sub levels except ownership structure disclosure which has negative relation with both ROA and ROE. Furthermore the average T&D level in Pakistani banking sector is above average. Practical implications: The current research paper aims for important policy implementation to reduce information asymmetry and improve corporate governance and firm performance in banking sector of Pakistan. (original abstract)

Słowa kluczowe

EN

Corporate governance; Transparency; Disclosure of financial statements; Financial performance; Agency theory

PL

Ład korporacyjny; Przejrzystość; Jawność sprawozdań finansowych; Wynik finansowy; Teoria agencji

• Czasopismo: International Letters of Social and Humanistic Sciences (ILSHS)
• Rocznik: 2015
• Tom: 2 (1)
• Strony: 152--166

Twórcy

autor

Rashid Zaman

• Bahria University Islamabad, PO box 44000, E-8, Islamabad, Pakistan

autor

Muhammad Arslan

• Bahria University Islamabad, PO box 44000, E-8, Islamabad, Pakistan

autor

Muhammad Ayub Siddiqui

• Bahria University Islamabad, PO box 44000, E-8, Islamabad, Pakistan

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