Corporate governance and financing choices of firms: A panel data analysis

被引:21
作者
Kyereboah-Coleman, Anthony [1 ]
Biekpe, Nicholas [1 ]
机构
[1] Univ Stellenbosch, Grad Sch Business, ZA-7600 Stellenbosch, South Africa
关键词
corporate governance; firms; financing decisions; Africa;
D O I
10.1111/j.1813-6982.2006.00097.x
中图分类号
F [经济];
学科分类号
02 ;
摘要
tWe examine how corporate governance indicators such as board size, board composition and CEO duality impact on financing decisions of firms. Panel data covering the five year period 1999-2003 from forty-seven (47) listed firms on the Nairobi Stock Exchange (NSE) was used. Analysis was done within the Random-effects GLS regression framework. Findings of the study indicate that firms with larger board sizes employ more debt irrespective of the maturity period and also the independence of a board negatively and significantly correlates with short-term debts. Again, when a CEO doubles as board chairperson, less debt is employed. Thus, the study reaffirms the notion that the governance structure of a firm affects its financing choices.
引用
收藏
页码:670 / 681
页数:12
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