CORPORATE GOVERNANCE AND THE QUALITY OF FIRM PERFORMANCE: EVIDENCE FROM LISTED NON-FINANCIAL FIRMS IN NIGERIA (2015–2024)

Abstract

The study examined Corporate Governance and the Quality of Firm Performance:
Evidence from Listed Non-Financial Firms in Nigeria (2015–2024). Corporate governance remains
particularly relevant in emerging economies such as Nigeria. The business environment faced by
Nigerian companies can be characterised by a weak institutional setting, including weak regulation
enforcement, concentrated ownership, information asymmetry, and dynamic capital markets. The
research design used in this study is ex post facto, which is suitable for testing relationships between
variables based on historical data without controlling the study environment. The research
population includes all non-financial companies listed on the Nigerian Exchange Group (NGX) as
of 31 December 2024. The study used the purposive sampling Technique. The study used secondary
data derived from various credible, publicly available sources. The findings revealed that board size
and quality of firm performance had a positive relationship. The study concluded that corporate
governance quality is a decisive factor in a firm's performance in emerging economies like Nigeria,
where institutional frameworks are still developing, and investor protection systems are still
ineffective. The research results of the study will have significant policy implications for the
regulators, corporate managers, investors, and other stakeholders in Nigeria. It was recommended
in the study that the ideal board size in non-financial firms should not be too large, as this would
increase access to diverse expertise and external resources whilst avoiding coordination
inefficiencies, especially in complex and uncertain operating environments.