Impact of Corporate Governance on Firm Financial Performance- Evidence from Non-Financial Public Listed Companies of Pakistan

Abstract

1l1is research adds value incomprehension of corporate governance variables and its effects on finn financial Perfom1ance. Data was collected from 15 Public listed Companies of Pakistan. The purpose of this paper is to investigate the relationship bet·ween Corporate Governance and firm financial. The study provides valuable insights to different firn1s to understand the importance of corporate governance in improving the financial perfonnance of firms as well all in enhancing its Credit rating v,rhich would indirectly attract the investors towards their firm. Secondary data was Collected from the PSX site which is used to Measure the variables such as BOD Size, BOD Meetings, Audit Committee Size , Managerial Ownership ROA and ROE .. Software packages SPSS is used to analyze L~e data. The findings revealed that BOD Size has significant but negative relationship wilh FFP while BOD Meetings, Audit Committee Size , Managerial Ownership has positive and significant impact on FFP Therefore, this study will contribute significantly towards the importance of corporate governance in enJ1ru1c ing firm financial performance by minimizing agency problem which can further improve credit ratings and attract Investors.