This study examined the influence of Corporate Governance Attributes (CGA) on the Financial Performance (FP) of listed Consumer Goods Companies (CGCs) in Nigeria. The objectives were to provide empirical evidence of the influence of Corporate Governance Attributes, proxied by Board Size (BS), Board Independence (BI), and Gender Diversity (GD) on the Dependent variable, Financial Performance (FP), proxied by Return on Assets (ROA), which is widely accepted to show the actual result of profitability in many firms. The study employed a longitudinal research design. A sample of five (5) companies was randomly selected from the population of thirty-five (35) listed CGCs in Nigeria as of 2020. Data was collected from the audited annual accounts and reports of the sampled firms. The study further employed multiple regression techniques to explain and test the data elicited. The statistical result for the variables shows weak FP among the sampled firms, implying that the selected firms reported a low return on assets during the period under consideration. Specifically, BI exerts a significant influence, while GD exerts a negative significant influence on ROA. However, BS reveals a negative and insignificant influence on the ROA of the CGCs in Nigeria. Deducing from the statistics, it can be observed that CEOs of CGCs in Nigeria are carefree with corporate attributes. There is a need for the CEOs and equity owners of the companies to review the fundamental demographic features of the CGCs to improve the quality of decision-making. Specifically, including the number of female directors in their board membership.
Credit risk is the weightiest menace that banks encountered during their operations. Various banking crises have prompted banks to focus more on credit risk management activities, as it is critical for banks to maximize the wealth of their shareholders. The primary goal of businesses is to maximize shareholder wealth, as such DMBs are expected to engage in risk management operations if and only if it adds value to both the firm and the shareholders. Thus, this study seeks to establish the influence of credit risks on the profitability of listed Nigerian DMBs. The ex-post facto method was adopted and the researchers sampled eight (8) out of twenty-four (24) quoted DMBs on the Nigerian Group Exchange. Data was sourced from the audited annual accounts of the sampled DMBs for a period of four years, spanning from 2015-2019. OLS regression techniques revealed that non-performing loans (NPL) have an insignificant influence on the profitability of the sampled DMBs (=-0.141; p, 0.797). This implies that a 1% increase in NPL would lead to a 14% decrease in shareholders' value. Loan and advances (LAD) according to the regression models exert a significant influence on shareholders' value (=7.341; p, 0.004). This implies that an increase in LAD will leads to an increase in the shareholders' value. Nigerian banks should keep their loan and advance portfolios because it makes them more valuable to their shareholders.
The NEG operates a platform for the purchase and sale of securities, which includes stocks, common stock, debentures, and government bonds. The NSE, like other stock exchanges across the world, is expected to influence the country's economic growth. Therefore, this paper aims to statistically study the impact of stock exchange mechanisms on Nigeria's economic growth. To accomplish this goal, time-series data from the DMO, CBN, and NEG statistical bulletins were obtained for the years 1980 to 2020. The study adopted an econometric technique of analysis using the unit root test, co-integration, and regression model. The statistics reveal that government bonds, with a coef value of 0.070194 and a p-value of 0.0003, positively and significantly influence Nigeria's economic growth, proxied by GDP at 1%. Market cap shows a coef. Value of 0.134597 and a p-value of 0.0000, indicating a positive, significant influence on Nigeria's GDP at 1%. Similarly, the statistics show that listed securities have a coef. Value of -0.444153 and a p-value of 0.0257, indicating a negative significant influence on Nigeria's economic growth (GDP). The study concluded that Nigerian group exchange mechanisms (govt bonds, market cap. and listed securities) significantly propel the country's GDP. The paper, therefore, recommends that the government put in place enough informational and infrastructural facilities that would enhance ease of access and participation in the NEG activities through effective sensitization and stock market advancements.
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