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EFFECTIVENESS OF CORPORATE GOVERNANCE IN ENHANCING FIRM PERFORMANCE: A SECTORAL STUDY FROM THE DHAKA STOCK EXCHANGE

Rahman Chowdhury Rafiqur
Published 28 February 2026
Vol. 14, No. 1 (2026)
pp. 47-61
CC BY 4.0
  1. 1
    Rahman Chowdhury Rafiqur
    Department of Finance, Faculty of Business Studies, Jagannath University, Dhaka, Bangladesh
    BD

Well-managed corporate governance mechanisms play an important role in improving corporate performance. Good corporate governance is fundamental for a firm in different ways; it improves company image, increases shareholders' confidence, and reduces the risk of fraudulent activities. This research aims to investigate the relationship between corporate governance and firm performance in a sample of 58 companies listed on the Dhaka Stock Exchange (DSE) using the data of 2016-2021. For this objective, this study used a number of corporate governance indices, including board size, board independence, members of the audit committee, and board effectiveness. The impact of those indices has been analyzed on the performance indicators of a firm like EPS, ROA and ROE. In this research, firm size and leverage ratio serve as control variables. In addition, the influence of independent factors on dependent variables has been analyzed using multiple linear regression. From the regression, the study found that board independence is a solo factor that is significant on the firm performance and has a positive impact. This research also observed no statistically significant correlation between Board Size

JournalColumbia Journal of Business and Economic Research
ISSN3065-0291
Volume / IssueVol. 14, No. 1 (2026)
Pages47-61
Published28 February 2026
DOI10.5281/zenodo.19681228
Access Open Access
LicenseCC BY 4.0 — reuse with attribution
PublisherKeith Publications
Rafiqur , R. (2026). EFFECTIVENESS OF CORPORATE GOVERNANCE IN ENHANCING FIRM PERFORMANCE: A SECTORAL STUDY FROM THE DHAKA STOCK EXCHANGE. Columbia Journal of Business and Economic Research, Vol. 14 No. 1, pp. 47-61. DOI: https://doi.org/10.5281/zenodo.19681228

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