Authors : Nuraddeen Usman Miko and Hasnah Kamardin
Abstract: Banking industry is considered as the back bone of the any economy because many sectors rely on banking services. Independence governance mechanismscan influence the managementto perform their activitieseffectively and efficiently. The present study investigates the effect of independent governance mechanisms on the efficiency of Nigerian banks. The study uses data of fifteen quoted banks as at 31st December 2014 for the period (2012-2014), using multiple regression analysis. The study finds thatboard independence, auditor independence and audit committee independent are significantly associated the efficiency while independence chairman is not significantly associated with efficiency. The study concludes that independent governance mechanisms determine efficiency in Nigerian banks. The study recommends that policies (corporate governance code and external auditors’ role) should be revisited for better control of the efficiency and transparency in banking industry.
Nuraddeen Usman Miko and Hasnah Kamardin, 2016. Can Governance Independence Determine Bank Efficiency?: Evidence from Nigerian Banking Industry. International Business Management, 10: 2483-2489.