Title: Corporate governance mechanisms and banking performance

Authors: Meriem Jouirou; Fathi Jouini

Addresses: Higher Institute of Finance and Taxation of Sousse, University of Sousse, Sousse, 4000, Tunisia ' Faculty of Economic Sciences and Management of Sousse, University of Sousse, Sousse, 4023, Tunisia

Abstract: Our study focuses on the impact of corporate governance mechanisms on the performance of banks. Our basic idea is that several determinants of the board of directors could affect the profitability of banks. We conducted an econometric study using an estimate by panel data from a sample of 66 French banks observed over the period 2015-2019. Thus, our research aims to see more closely the nature of the relationship between these banks governance mechanisms and banking performance. The results demonstrated a positive and significant relationship between gender diversity and profitability. In addition, we found a positive impact of the independence of directors on profitability while the impact of the duality of the CEO has negative and significant effects on the profitability of the bank. We also use the Newey-West estimator and the method of weighted last square to confirm the relationship between corporate governance and banking profitability.

Keywords: governance; gender diversity; duality; banking performance.

DOI: 10.1504/GBER.2022.126640

Global Business and Economics Review, 2022 Vol.27 No.4, pp.475 - 491

Received: 18 Aug 2021
Accepted: 09 Dec 2021
Published online: 31 Oct 2022 *

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