Abstract:
Purpose: Despite the fact that there is a lot of research has been done to evaluate the
corporate governance effect on performance of the firm in Pakistan, Banking sector is far
behind of this evaluation. The objective of this research paper is to scrutinize the
association present between corporate governance indicators and corporations’
performance targeting the eight private banks of Pakistan.
Design/Methodology/Approach: This paper is going to use the model of panel
regression to analyze the data for the banks over the period 2008-2012 to determine the
role played by measures of corporate governance and their impact on performance of the
banks in emerging economy of Pakistan.
Findings: Practices of corporate governance has significant impact on firm performance.
Practical Implications: These findings provide the guidelines to the policy makers with
a detailed insights which lead them to formulate effective policies regarding corporate
governance measure. Because good corporate governance standards inspire the investors
to invest and a reason of satisfaction for the other stakeholders regarding performance of
the firm.
