IDEAS home Printed from https://ideas.repec.org/h/spr/csrchp/978-3-319-70449-4_11.html
   My bibliography  Save this book chapter

The Correlation between Corporate Governance and Financial Performances in the Romanian Banks

In: Current Issues in Corporate Social Responsibility

Author

Listed:
  • Alina Georgiana Manta

    (University of Craiova)

  • Roxana Maria Bădîrcea

    (University of Craiova)

  • Ramona Pîrvu

    (University of Craiova)

Abstract

This study examines the impact of corporate governance on the financial performances of the banks. For this purpose, we compiled a database including 23 commercial banks in Romania. Starting from a vast reference literature there were identified three characteristics of the board (dimension, the structure from the point of view of the womenWomen and of the non-residentsNon-residents ) which might have an impact on the financial performance and these characteristics were used as independent variablesIndependent variables . The Ordinary Least Squares (OLS) regression from Eviews was used to estimate the relationship between bank performance measures and the independent variables. After the empiric testing, the hypotheses considered within the theoretical section were accepted. Within the first econometric model, the size of the board represented by the supervisory boardSupervisory board and the executive boardExecutive board determined a positive and significant impact on the performance. One showed that a numerous board contributes to the increase of the financial value of the considered banks because it assures an efficient supervisory. The second considered model enforced the results provided by the first model, so that the structure of the board Board structure determines a positive effect on the performance by means of the non-resident members (the conflicts of interestInterest are reduced) and the presence womenWomen in managementManagement (new ideas and approaches).

Suggested Citation

  • Alina Georgiana Manta & Roxana Maria Bădîrcea & Ramona Pîrvu, 2018. "The Correlation between Corporate Governance and Financial Performances in the Romanian Banks," CSR, Sustainability, Ethics & Governance, in: Samuel O. Idowu & Catalina Sitnikov & Dalia Simion & Claudiu George Bocean (ed.), Current Issues in Corporate Social Responsibility, pages 165-182, Springer.
    • Handle: RePEc:spr:csrchp:978-3-319-70449-4_11
    DOI: 10.1007/978-3-319-70449-4_11
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Nina Sinitin & Adela Socol, 2021. "Does the Disclosure of Performance Indicators Impact Bank Profitability? Empirical Study for the Romanian Banking System," Ovidius University Annals, Economic Sciences Series, Ovidius University of Constantza, Faculty of Economic Sciences, vol. 0(2), pages 1153-1160, December.
    2. Pompei MITITEAN, 2023. "The Relationship Between Corporate Governance Mechanisms and Financial Institution Performance. A COVID-19 Perspective," CECCAR Business Review, Body of Expert and Licensed Accountants of Romania (CECCAR), vol. 3(12), pages 55-65, December .
    3. Manta, Alina Georgiana & Doran, Nicoleta Mihaela & Bădîrcea, Roxana Maria & Badareu, Gabriela & Țăran, Alexandra Mădălina, 2023. "Does the implementation of a Pigouvian tax be considered an effective approach to address climate change mitigation?," Economic Analysis and Policy, Elsevier, vol. 80(C), pages 1719-1731.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:csrchp:978-3-319-70449-4_11. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.