Abstract: Corporate governance is considered as most crucial instrument to improve the efficiency of the firm. The aim of corporate governance is to safeguard the interest of shareholder and maximizing the shareholding value. It maximizes the shareholding value in ethical manner in all transactions with the customer, shareholder and stakeholders of the banks. The aim of the paper is to analyze the effectiveness and relationship between corporate governance and financial performance in selected private sector banks in India listed in exchanges. The study utilizes the secondary data obtained from annual reports and other web sources for the period of three financial years (2014 to 2017). The generated data were analyzed using Pearson’s correlation coefficient and ordinary least square regression using Excel. EPS, ROA and ROE are used as a variable in case of financial performance and Composition of board and Board committee is taken in case of corporate governance. From the analysis, the study results that there is no significant relationship and dependence on financial performance and corporate governance in the selected private sector bank. As the scope of study is limited to few private sectors banks, a further research could be measured by analyzing the reports of more banks for a period of time.
Keywords: Corporate Governance, Financial Performance, Composition of Board and Board Committee.
Title: A STUDY OF CORPORATE GOVERNANCE AND FINANCIAL PERFORMANCE OF SELECTED PRIVATE SECTORS BANKS IN INDIA
Author: D.DEVIPRIYA
International Journal of Management and Commerce Innovations
ISSN 2348-7585 (Online)
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