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Corporate Attributes And Prudential Guideline Compliance Among Nigeria Banks’

Author

Listed:
  • Dr. Babagana Abba

    (Federal University Dutse, Jigawa)

  • Dr. Yusuf Yahaya

    (Usumanu Danfodiyo University Sokoto)

  • Professor Abdurahman Bala Sani

    (Usumanu Danfodiyo University Sokoto)

  • Dr. Asma’u Abubakar

    (Usumanu Danfodiyo University Sokoto)

Abstract

This study examines the influence of corporate attributes on the compliance of Nigerian Deposit Money Banks with the Central Bank of Nigeria’s Prudential Guidelines. It focuses on three key attributes: asset tangibility, revenue growth, and ownership structure. Data were obtained from the financial statements of fourteen banks listed on the Nigerian Exchange Group as of December 31, 2021, and records from the Nigeria Deposit Insurance Corporation covering the period 2012 to 2021. The analysis applies the Generalized Method of Moments to ensure robust results. The findings reveal that while asset tangibility has a positive but statistically insignificant effect on compliance, revenue growth exhibits a significant positive influence. Conversely, ownership structure shows a significant negative impact on regulatory adherence. The study concludes that strategies to enhance revenue growth, such as business expansion, customer retention, and service diversification, are critical for improving compliance levels. Furthermore, diversifying ownership structures by attracting foreign investors and fostering a culture of regulatory compliance are recommended to address challenges in adherence.

Suggested Citation

  • Dr. Babagana Abba & Dr. Yusuf Yahaya & Professor Abdurahman Bala Sani & Dr. Asma’u Abubakar, 2025. "Corporate Attributes And Prudential Guideline Compliance Among Nigeria Banks’," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 9(1), pages 191-217, January.
    • Handle: RePEc:bcp:journl:v:9:y:2025:i:1:p:191-217
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