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The revision of corporate governance mechanisms and performance of asean banks
Author(s):
1. Abdul Hadi zulkafli: Finance Section, School of Management, Universiti Sains Malaysia,11800 Penang, Malaysia
2. Hasroleffendy Hassan: Faculty of Business Management, Universiti Teknologi MARA, Kedah Branch, 08400 Merbok, Kedah, Malaysia
Abstract:
This study is conducted to analyze the impact of the revision of corporate governance mechanisms on the performance of banks in ASEAN from 2011 until 2015. A total of 52 banks with 260 observations from Malaysia, Indonesia, the Philippine and Thailand classified as emerging markets are selected into this study. Evidently, the majority of the variables under risk governance, board governance, and; disclosure and transparency governance revisions have significant relationships with bank performance measured by Net Interest Margin. It is implying that banks in ASEAN should consider the appointment of foreign CRO who directly reported to CEO, having more directors with qualifications and experience in banking and finance while setting for full independence and expert auditing committee in enhancing performance.
Page(s): 453-458
DOI: DOI not available
Published: Journal: Science International, Volume: 32, Issue: 4, Year: 2020
Keywords:
corporate governance , ASEAN , Banks
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