Does Corporate Governance Influence Leverage Structure in Bangladesh?

International Journal of Financial Studies

MohammadNazim Uddin¹  MohammedShamim Uddin Khan²  Mosharrof Hosen³ 

[1] Department of Business Administration, International Islamic University Chittagong, Kumira 4314, Bangladesh;Department of Finance, University of Chittagong, Chittagong 4331, Bangladesh;Faculty of Business and Finance, Universiti Tunku Abdul Rahman, Perak Campus, Kampar 31900, Malaysia;

关键词: board size;    managerial ownership;    duality;    leverage structure;    Bangladesh;   

DOI  :  10.3390/ijfs7030050

来源: DOAJ

【 摘 要 】

This paper examines the regulation of corporate governance on leverage structure decision-making in Bangladesh from 2003 to 2017. Appropriate panel methods are employed to control the problems of serial correlation, heteroskedasticity, and the cross-sectional nature of manufacturing companies. The study finds that corporate governance attributes such as board size, managerial ownership, and duality are the dominant factors for leverage decision-making. The results also indicate that control variables such as firm size and profitability have an influential role on leverage decision-making in Bangladesh. Our findings substantiate the idea that political and family connections to corporate governance structure greatly influence the leverage decision-making of corporate firms in Bangladesh.

【 授权许可】

Unknown