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Corporate Board Features And Dividend Policy In Nigerian Banks

Author

Listed:
  • Sunday Olugboyega KAJOLA

    (Department of Accounting, Federal University of Agriculture, Abeokuta, Nigeria)

  • Samuel Babatunji ADEDEJI

    (Department of Accounting, Olabisi Onabanjo University, Ago-Iwoye, Nigeria)

  • Joel Adeniyi OKEWALE

    (Department of Accounting, Olabisi Onabanjo University, Ago-Iwoye, Nigeria)

  • Segun Daniel OWOEYE

    (Department of Banking and Finance, Federal University of Agriculture, Abeokuta, Nigeria)

Abstract

The study examined the influence of corporate board attributes on dividend policy decision in twelve Nigerian banks for the period 2009-2021. The independent variable, corporate board features, was surrogated by four attributes (board size, composition, gender diversity and meetings). Dividend per share served as a proxy for the dependent variable, dividend policy. Fixed effects least square regression model was adopted as the study’s analytical instrument. Findings reveal that board size, board composition and board meetings have an inverse and significant relationship with dividend per share. The finding further indicates a direct and insignificant association between gender diversity and dividend per share. Overall, result provides empirical evidence in support of substitution hypothesis perspective of agency theory.

Suggested Citation

  • Sunday Olugboyega KAJOLA & Samuel Babatunji ADEDEJI & Joel Adeniyi OKEWALE & Segun Daniel OWOEYE, 2022. "Corporate Board Features And Dividend Policy In Nigerian Banks," Contemporary Economy Journal, Constantin Brancoveanu University, vol. 7(4), pages 242-258.
    • Handle: RePEc:brc:brccej:v:7:y:2022:i:4:p:242-258
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    References listed on IDEAS

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    More about this item

    Keywords

    Agency cost; board size; board composition; board gender; corporate governance; dividend pay-out;
    All these keywords.

    JEL classification:

    • C24 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Truncated and Censored Models; Switching Regression Models; Threshold Regression Models
    • G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance
    • G35 - Financial Economics - - Corporate Finance and Governance - - - Payout Policy

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