Iranian Economic Review

Iranian Economic Review

Board Governance and Bank Performance: Case of Tunisian Banks

Document Type : Research Paper

Authors
Laboratory in Economics and Management, Faculty of Economics Sciences and Management of Sfax, University of Sfax, Sfax 3018, Tunisia.
Abstract
This research work endeavors to explore the influence of board governance on bank performance. The sample consists of 11 Tunisian commercial banks listed on the Tunis Stock Exchange (TSE) during the 2006-2020 period. This choice is explained by the importance of the role played by banks in the Tunisian economy. The authors utilize the random effects model, and the two-step generalized method of moments (GMM) estimator for the purpose of investigating the effect of a range of board characteristics on bank performance. The results evince that the board size negatively affects bank profitability. Nonetheless, the female board members have a positive impact. Findings also give proof that the duality has no effect on bank performance. As a matter of fact, this paper contributes to the literature since it provides a better understanding of the role of board characteristics in determining the performance of the Tunisian banking sector over a long period.
Keywords
Subjects

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