Corporate Governance and Capital Buffer of Deposit Money Banks in Nigeria
This study examined the effect of corporate governance on capital buffer of Deposit Money Banks in Nigeria. The population for this study comprised twenty-four listed DMBs. Purposive sampling was used in this study for selecting 11 Deposit Money Banks whose stocks were actively traded on the stock market during the sample period and for which pertinent data were readily available. The study employed secondary data. Data used were sought from the financial statement of twelve listed deposit money banks from 2010-2021. The finding revealed that Board Independence (BIN), Female Directorship (FED), Institutional Ownership (INTO), Chairman’s Share (CHS), Leverage (Lev) and Authorization (AUT) negatively and significantly affecting capital buffer; while Firm Size (SIZ) positively and significantly affect capital buffer. The study therefore, recommended that the Regulators should be mandated to constantly review the corporate governance of the DMBs in a bid to enhance capital buffer of banks and investors’ confidence. Keywords: Capital Buffer, Corporate Governance, Deposit Money Banks. JEL Classification Code: G34, G32