The Impact Of Corporate Governance On Bank Performance Listed On Hose And HNX

Abstract

The performance of a bank and the state of the economy are both significantly impacted by corporate governance. Corporate governance has grown more crucial to banks' success in the context of a challenging business environment where recessions break out not only in their own regions but also in the international ones. This study examined the relationship between corporate governance and bank performance. Bank performance is measured by three common financial measures: return on asset, return on equity, and tobin's q ratio. These conclusions were selected on panel data collected from 19 banks between 2017 and 2022. After analysis, the research came to the conclusion that there was a strong positive association between ownership concentration, Big4 external auditor and bank performance. However, there was also a negative correlation between board size, leverage, and CEO duality and bank performance. In addition, the board's independence, the age and size of the bank have no impact on the success of the institution. The study makes some suggestions for enhancing corporate governance procedures and update bank performance in Vietnam.