dc.description.abstract | The research aims to overview the association of corporate governance and Vietnamese commercial banks performance over six years from 2017 to 2022. There are two pairs of relationships investigated in the study: board structure which commonly has two dimensions including board size and proportion of outside directors on the board and financial performance of 28 over 31 Vietnamese listed commercial banks. The performance of financial institutions is evaluated by both fundamental ratios (return on assets and return on equity ratios) and market-based Tobin's ratio.
In recent years, financial crisis has been becoming a concern for the banks. The crisis affects the whole operational banking system as well. Hence, the stability of the bank in both the current and future is determined by corporate governance strategy of the banks.
The result is shown that:
1. Board size is insignificant with performance of commercial banks in Vietnam estimated by return to equity, Tobin Q ratio and return to assets ratios.
2. The outside directors proportion sitting on the board is negatively correlated to Vietnamese commercial banks performance estimated by Tobin Q ratio. | en_US |