Audit committee characteristics and market value of deposit money banks in Nigeria
DOI:
https://doi.org/10.26565/2310-9513-2025-22-05Keywords:
Audit committee size, Audit committee independence, Audit committee gender diversity, Frequency of audit committee meetingsAbstract
The study looked at how Nigerian market value deposit money banks were affected by audit committee features. Data were collected from the financial statements of listed DMBs in Nigeria during an eleven-year period, from 2011 to 2022, using an expo-facto research approach. Data from the annual reports of the chosen companies were gathered using a secondary source of data. Regression using panel data was used in the study. Panel data regression was used in the study as the estimation method. According to the study, market performance is positively impacted by the size of the audit committee. This is consistent with the agency theory's premise that a larger audit committee will enable the committee to fulfill its supervision role more effectively and enhance market performance. Furthermore, it was found that audit committee independence, audit committee gender diversity and audit committee meeting have negative and insignificant effect on market performance of deposit money banks in Nigeria. The study concluded that audit committee size is an important for improving market performance. In view of this, the study recommends that the management of deposit money should maintain adequate audit committee size with adequate independent, gender diversity and meeting in order to reduce cost of monitoring, provide access to information and skills by incorporating the best committee member.
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