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Assessing bank’s internal control effectiveness: The case of Ghanaian listed banks

Author

Listed:
  • Tamer Aksoy

    (Professor of Auditing, School of Business, Ibn Haldun University, Istanbul, Turkey)

  • Abdullai Mohammed

    (Institute of Social Sciences,Ibn Haldun University,Istanbul, Turkey)

Abstract

This paper aims to evaluate the effectiveness of Ghanaian listed banks using COSO’s IC framework. Only Control environment, Risk assessment, and Monitoring activities components of the framework considered for this study. Methodologically, out of the 60 questionnaires, surveys distributed to the banks 37 copies received representing a 61.7% response rate. Statistic Package for Social Sciences (SPSS) v25 used to analyze data by running among other reliability tests, tests of normality, and descriptive statistics. The results of means and standard deviations gained ascertained that; strong controls existed in the control environment, risk assessment, and monitoring activities of internal control of the Ghanaian listed banks. A risk assessment had a low average mean compared to the control environment and monitoring activities. Because banks operate under higher risk than any other financial institution, we propose that Ghanaian listed banks should increase investment in risk assessment. Key Words: Internal Control, COSO, Control Environment, Risk Assessment, Monitoring, Internal Auditing, Corporate Governance

Suggested Citation

  • Tamer Aksoy & Abdullai Mohammed, 2020. "Assessing bank’s internal control effectiveness: The case of Ghanaian listed banks," International Journal of Research in Business and Social Science (2147-4478), Center for the Strategic Studies in Business and Finance, vol. 9(4), pages 196-206, July.
    • Handle: RePEc:rbs:ijbrss:v:9:y:2020:i:4:p:196-206
    DOI: 10.20525/ijrbs.v9i4.743
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    References listed on IDEAS

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    1. Dessalegn Getie Mihret & Aderajew Wondim Yismaw, 2007. "Internal audit effectiveness: an Ethiopian public sector case study," Managerial Auditing Journal, Emerald Group Publishing, vol. 22(5), pages 470-484, May.
    2. Andreas Koutoupis & Anastasios Tsamis, 2009. "Risk based internal auditing within Greek banks: a case study approach," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 13(1), pages 101-130, May.
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    1. Tamer Aksoy & Ali Tümay Denkdemir, 2024. "The Perception of Fraud and Perspective on Ethics of the Media Employees in Emerging Countries in the Digital Era: Evidence from Türkiye," Journal of Ibn Haldun Studies [İbn Haldun Çalışmaları Dergisi], Ibn Haldun University, vol. 9(2), pages 161-191, July.

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