THE EFFECT OF CORPORATE GOVERNANCE MECHANISMS ON BANK FINANCIAL PERFORMANCE. (A USE STUDY OF FIRST BANK PLC ENUGU)

ABSTRACT

This research work titled “The Corporate Governance Mechanisms and Bank  Financial Performance” The researcher examined the relationship between board structure and financial performance. Determined if effective corporate governance has positive effects on directors effectiveness. Ascertained the relationship between board effectiveness and financial performance of first bank plc Enugu. Data for the study was sourced from two main sources which include Primary and Secondary sources of data Collection. Primary data: questionnaires and oral interviews were used to collect information from the respondents. Secondary data: journals, and other relevant materials relating to the area of my investigation will be review. Extensive literature review was carried out on the direct literature and indirect literature on books, journals and past works. The research instrument used in this study includes oral interview and questionnaire. The questionnaire is structural as to contain both close and open ended question. Simple tables and percentages was used in treatment of data. Based on the analysis the researcher found out that there is a significant relationship between corporate governance and financial performance. Corporate governance has positive effect on financial performance of commercial banks in so many ways, based on the findings the researcher recommends that Supervisory and regulatory agencies should improve on supervision of organizations through improved use of their machinery and appropriate sanctions should be taken on erring board of any organization to serve as a deterrent on others.