Conference Paper

Corporate Governance and Financial Performance of Listed Deposit Money Banks in Nigeria: An Evidence-Based Study of Selected Nigerian Commercial Banks (2015–2024)

This study examines the influence of corporate governance on the financial performance of five listed deposit money banks in Nigeria, First Bank, Zenith Bank, Guaranty Trust Bank, Fidelity Bank, and Wema Bank over a ten-year period (2015–2024). It investigates the effects of board size, board independence, and audit committee size on Return on Assets (ROA). Adopting an ex-post facto design, secondary data from audited financial statements were analyzed using descriptive statistics, correlation analysis, and Ordinary Least Squares (OLS) panel regression via EViews. The Hausman test (p = 0.6264) confirmed the Random Effects Model (REM) as the most appropriate estimator. Findings reveal that board size had a positive but insignificant effect on ROA (β = 0.0586, p = 0.3483); audit committee size showed a negative and insignificant effect (β = -0.3235, p = 0.1134); and board independence demonstrated a negative and insignificant influence (β = -0.0712, p = 0.5825). All three null hypotheses were accepted. Strong cross-sectional dependence indicates that macroeconomic factors including inflation, exchange rate volatility, capital structure, and managerial efficiency are more decisive determinants of bank profitability than governance structures alone. The study concludes that corporate governance in Nigeria remains largely compliance driven rather than performance oriented and recommends moderate board sizes, stronger audit committee competence, genuine director independence, and governance reforms anchored in accountability and functionality. Keywords: Auditor Independence, Board of Directors, Corporate Governance, Commercial Banks, Financial Performance