Corporate Governance Practices and the Operational Performance of Banks in Nigeria

<p><strong><span>Abstract: </span></strong><span>This study investigates the impact of corporate governance on the performance of selected deposit money banks in Nigeria, with particular emphasis on gender diversity, board size, CEO duality, and audit committee effectiveness. Adopting an ex-post facto research design, secondary data were extracted from the annual reports of eight selected banks covering the period 2012 to 2024. To ensure the robustness of findings, diagnostic tests; including descriptive statistics, normality, heteroskedasticity, multicollinearity (using variance inflation factor), and correlation analysis were conducted. The study employed Generalised Least Squares, Random Effects, and Fixed Effects regression techniques, with the Hausman test guiding the model selection between fixed and random effects. Empirical results indicate that all four governance variables exert a positive and statistically significant influence on bank performance. The study concludes that sound corporate governance practices substantially enhance the performance of deposit money banks in Nigeria. It recommends fostering board independence by increasing the proportion of non-executive directors and expanding board size to leverage a broader range of expertise, skills, and professional networks for improved financial and organizational outcomes.</span></p>