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Article
Publication date: 9 August 2022

Mohammed Mohi Uddin, Mohammad Tazul Islam and Omar Al Farooque

In this study, the authors explore the effects of politically controlled boards on bank loan performance in both state-owned commercial banks (SCBs) and private sector commercial…

Abstract

Purpose

In this study, the authors explore the effects of politically controlled boards on bank loan performance in both state-owned commercial banks (SCBs) and private sector commercial banks (PCBs) in Bangladesh.

Design/methodology/approach

The data consist of 409 bank-year observations from 46 sample SCBs and PCBs of Bangladesh for the period 2008–17. The authors apply ordinary least squares pooled regression with year fixed effect for baseline econometric analyses and generalized method of moments regression for robustness tests after addressing the endogeneity issue.

Findings

The regression results reveal that the presence of bank “boards controlled by politically affiliated directors” (PA) have significant positive effects on non-performing loans (NPLs). Similarly, the presence of “boards controlled by politically affiliated directors without substantial ownership interests” (PAWOI) show positive association with NPLs. In contrast, the presence of “boards controlled by politically affiliated directors with substantial ownership interests” (PAOI) exhibit an inverse relationship with NPLs. These findings support ‘agency conflict’ arguments and document that both PA and PAWOI are detrimental to bank loan performance in Bangladesh, while PAOI do not have significant effect on increasing NPLs.

Originality/value

This study contributes to the existing bank governance literature by providing evidence from an emerging economy perspective, where politically affiliated directors (PADs) exploit their positions for personal and/or political gain at the cost of other stakeholders by taking advantage of relaxed regulatory oversights and investor protections.

Details

Journal of Accounting in Emerging Economies, vol. 13 no. 3
Type: Research Article
ISSN: 2042-1168

Keywords

Article
Publication date: 8 March 2013

Kellen Lazzaretti, Christiane Kleinübing Godoi, Silvio Parodi Oliveira Camilo and Rosilene Marcon

This study aims to analyse the gender composition of the 99 most liquid Brazilian companies listed in the Brazilian stock exchange (BM&FBovespa) in 2011. It proposes a discussion…

2026

Abstract

Purpose

This study aims to analyse the gender composition of the 99 most liquid Brazilian companies listed in the Brazilian stock exchange (BM&FBovespa) in 2011. It proposes a discussion about gender inequality in Brazilian companies and provides data, made available for the first time to national and international literature, on gender composition in Brazilian boards.

Design/methodology/approach

This is a quantitative study, whose data were collected from the Annual Report of Corporate Governance of Listed Companies 2011 prepared by the Capital Aberto magazine on the makeup of the boards of the 100 most liquid Brazilian publicly traded companies. Descriptive multivariate regression tests were carried out to refine these findings.

Findings

The results show that only 5.4 per cent of the positions in the boards of these companies are occupied by women. Firms that have been listed for longer in the stock market and have more seats in their boards are more likely to have women directors in these boards, suggesting gender inequality in the 99 companies surveyed.

Research limitations/implications

This study has a limitation with regards to the type of female board members in the sample. In other words, the authors were unable to determine if they were external or internal to the companies.

Practical implications

The study discusses gender inequality in Brazilian companies and contributes to the debate on a governmental proposal to adopt quota legislation to increase the number of women in boards of directors.

Originality/value

This study fulfils an identified need to know more about the gender composition of Brazilian boards.

Details

Gender in Management: An International Journal, vol. 28 no. 2
Type: Research Article
ISSN: 1754-2413

Keywords

Article
Publication date: 15 February 2013

Jin‐young Jung

The purpose of this paper is to identify both the problems and their solutions in the corporate governance systems of Korean business groups (chaebols) in the wake of the Asian

1492

Abstract

Purpose

The purpose of this paper is to identify both the problems and their solutions in the corporate governance systems of Korean business groups (chaebols) in the wake of the Asian financial crisis.

Design/methodology/approach

This is a conceptual paper and includes suggestions for improving international governance systems.

Findings

In this paper, the author focuses on how chaebols should be restructured to improve the Korean economy. In order to figure out how they should be restructured, the author explains the positives and negatives of their current structure and how these can be modified/eliminated to make stronger corporate governance.

Originality/value

The paper provides conceptual insights into systems and laws, which can be used to improve the corporate governance of business groups.

Details

Corporate Governance: The international journal of business in society, vol. 13 no. 1
Type: Research Article
ISSN: 1472-0701

Keywords

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