AN INQUIRY INTO CORPORATE GOVERNANCE PRACTICES IN INDIAN BANKING SECTORS

The term 'Corporate Governance' conveys about how a corporation is directed and controlled under a set of mission, values, and philosophy. It is a phrase implying greater transparency of management system in corporate entities. Corporate Governance in financial service sector is specially significant since banks have an overwhelmingly dominant position in developing economy financial systems, and are extremely important engines of economic growth [King and Levine 1993; Levine 1997] and banks in developing countries are, usually the main depository for the economy's savings. In India, although the issues of corporate governance have not received much attention in the first generation of financial sector reforms, this issue will become a natural choice in the second set of reforms. In this backdrop this paper, after examining the nature and extent of compliance of the leading national and international Corporate Governance Codes/ Guidelines by the listed public and private sector banks in India, responsible for composition of BSE BANKEX, an attempt has been made to examine the relationship between the corporate governance practices of such banks and their financial performance with the help of appropriate financial and statistical tools. Based on the findings, it has been concluded that in some important areas statistically significant relationship between corporate governance practices and financial performance of such banks exist.

‘公司治理（Corporate Governance）’一词阐释了企业如何在一系列使命、价值观与经营理念的框架下实施治理与管控，该术语意指企业需提升其管理体系的透明度。金融服务领域的公司治理尤为关键，这是因为银行在发展中经济体的金融体系中占据压倒性主导地位，同时也是经济增长的核心引擎[King与Levine 1993; Levine 1997]；此外，发展中国家的银行通常是国民储蓄的主要存放机构。在印度，尽管公司治理议题在首轮金融改革中未受到足够重视，但在第二轮金融改革中，该议题自然成为了核心关注点。在此背景下，本文首先考察了作为孟买证券交易所银行指数（BSE BANKEX）成分股的印度上市国有及私营银行对国内外主流公司治理准则与指南的合规性质及合规程度，随后借助恰当的财务与统计工具，探究此类银行的公司治理实践与其财务绩效之间的关联。基于研究结果，本文得出结论：在部分关键领域，此类银行的公司治理实践与财务绩效之间存在统计学意义上的显著关联。