Poor Corporate Governance and its Consequences on the Nigerian Banking Sector.
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Date
2010
Authors
Oghojafor, B. E. A.
Olayemi, O.O.
Okonji, P.S.
Okolie, J.U.
Journal Title
Journal ISSN
Volume Title
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Abstract
The anxiety over the current banking crisis in Nigeria is understandable. This is borne out of the
fact that the economic development of any country is directly tied to its banking sector. The
effectiveness and efficiency with which the banks perform their intermediary roles between the
surplus and deficit spending units of the economy determines to a very large extent the prosperity of
any nation. Corporate governance is systematic and formalized manners of ensuring that top
management represented by the board of directors do not make decision making powers occasioned
by management and ownership separation to pursue personal interests at the expense of other
stakeholders. This study made use of structured questionnaire to elicit responses from conveniently
selected respondents comprising of investment experts, academics, banks customers, public and
policy analysts with in Lagos metropolis. It was hypothesized and the study confirmed that poor
governance culture and supervisory laxities were majorly responsible for the current banking crises.
The study recommended an adherence to the execution of the tenets of good corporate governance
in Nigerian banking sector and actions contrary to this should be dealt with appropriately by bringing
offenders to book irrespective of their status in the society.
Description
Staff publication
Keywords
Banking crises , Efficiency , Economic development , Corporate governance
Citation
Oghojafor, B. E. A., Olayemi, O.O., Okonji, P.S. & Okolie, J.U. (2010), Poor Corporate Governance and its Consequences on the Nigerian Banking Sector. Serbian Journal of Management, vol. 5 (2)