THE IMPACT OF CORPORATE GOVERNANCE ON CREDIT RISK EXPOSURE MANAGEMENT OF LISTED DEPOSIT MONEY BANKS IN NIGERIA INTRODUCTION Section Articles

Abstract

Abstract

This study examines the Impact of Corporate Governance On Credit Risk Management of listed Deposit Money Banks in Nigeria. The study adopted the ex-post facto research design as it is the design that best explains research on the effects of two or more historical data. The study population is the fifteen listed deposit money banks in Nigeria as of 2024. The census approach was adopted as all the banks were used in the analysis. The secondary source of data collection was employed and data were obtained from published annual accounts and reports of the banks. The Multiple Regression Technique was used and Stata 13 was employed as the tool for data analysis. The study revealed that all the explanatory variables (board size, board independence, and foreign directors not moderated) were significant in explaining the level of credit risk exposure of listed deposit money banks in Nigeria. In line with the findings, the study concludes that: Having a high number of board members on bank boards is associated with increased credit risk exposure.   In line with the conclusion the study recommended that, on the board size of the banks, the management should consider expanding the number alongside an increase in the number of risk committee size to improve the management of credit risk exposure of banks and thus reduce the amount of non-performing loans within their banks in Nigeria.