IIARD International Institute of Academic Research and Development

INTERNATIONAL JOURNAL OF ECONOMICS AND FINANCIAL MANAGEMENT (IJEFM )

E-ISSN 2545-5966
P-ISSN 2695-1932
VOL. 9 NO. 2 2024
DOI: https://doi.org/10.56201/ijefm.v9.no2.2024.pg167.191

---

Corporate Governance Structure and Free Cashflow of Non- Financial Firms in Nigeria

Lawrence, U. Egbadju

---

Abstract

This study investigates if there is any relationship between certain corporate board characteristics and financial performance of non-financial listed firms in Nigeria. It uses secondarily sourced panel data over the period from 2007 to 2022 of 75 such firms listed on the floor of the Nigerian Exchange Group (NXG). The generalized method of moments (GMM) results reveal that board independence, board gender diversity, board meetings, board financial expertise, institutional ownership, board busyness, audit committee financial expertise and audit committee gender diversity are positively significant with free cash flow; board size, foreign ownership, chief executive officer (CEO) with financial expertise and number of foreign directors are negatively significant while managerial ownership, top5 ownership or ownership concentration and chief executive officer (CEO) with military experience are not significant. The study concludes with some recommendations.

keywords:

Corporate  Governance,  Performance,

---

References:

Abdurrashid, I., Adekanmi, A. D., Oladipo, O. N. & Rildwan, O. B. (2023). Corporate
governance and firm performance: evidence from deposit money bank in Nigeria. E u r o
E c o n o m i c a, 1(42), 138-151.

Adeola, F. K., Zubairu, A. D. & Ame, J. O. (2023). Effect of board characteristics on capital
structure decision of listed insurance firms in Nigeria.
International Journal of Education, Business and Economics Research (IJEBER)
3(3): 37-53.
Adinehzadeh, R. & Jaffar, R. (2013).Corporate governance and firm free cash flows: Evidence
from Malaysia. Information Management and Business Review, 5 (11), 531-537,

Al-Absy, M. S. M. & Nada, H. A. (2023). The interaction effect of nomination committee’s
effectiveness on board of directors’ characteristics and firm performance. Administrative
Sciences 13: 135.

Arellano, M. & Bond, S. (1991). Some tests of specification for panel data: Monte Carlo
evidence and an application to employment equations. Review of Economic Studies.
58(2): 277-297.

Bagh, T., Khan, M. A., Meyer, N. & Riaz, H. (2023). Impact of boardroom diversity on
corporate financial performance. HUMANITIES AND SOCIAL SCIENCES
COMMUNICATIONS |https://doi.org/10.1057/s41599-023-01700-3

DOWNLOAD PDF

---

Back