The Effect of Gender Diversity and Ownership Structures on Bank Stability in Ghana
(Pages 437-447)Deodat Emilson Adenutsi1, Alhassan Musah2,*, Bismark Okyere1, Marshall Wellington Blay1 and Daniel Odei Okyere1
1Department of Accounting and Finance, Ho Technical University, Post office Box HP217, Ho, Ghana.
2Department of Accounting and Finance, Takoradi Technical University, Post Office Box 256, Takoradi, Ghana.
DOI: https://doi.org/10.55365/1923.x2024.22.46
Abstract:
This research was driven by an exploration of the aftermath of the recent financial sector crisis in Ghana and its widespread impact on not just the financial sector but also the broader economy and public confidence in commercial banks. Specifically, the study investigated the effects of various factors, including female representation on commercial bank boards, the presence of female CEOs, and ownership structures such as foreign ownership, government ownership, and managerial ownership on the stability of banks in Ghana. A sample of 15 commercial banks was examined over a decade, spanning from 2012 to 2021. To analyse the data, the study employed a combination of descriptive statistics, correlation analysis, and generalised least square panel regression after addressing various methodological challenges. Notably, the findings revealed a robust positive relationship between foreign ownership and bank stability in Ghana. On the other hand, government ownership and managerial ownership exhibited a negative association with bank stability, although these relationships were statistically insignificant. Female representation on boards and the presence of female CEOs were both linked to increased bank stability in Ghana. Overall, the results of this study align closely with the expectations of agency theory, particularly in the context of gender diversity and its influence on bank stability. This research sheds light on the nuanced dynamics within the Ghanaian banking sector, offering valuable insights for stakeholders and policymakers concerned with enhancing the stability and resilience of financial institutions in the aftermath of a crisis.
Keywords:
Gender diversity, ownership structures, bank stability, panel data, Ghana.
JEL Classification:
G01, G18, G21, G34.
How to Cite:
Deodat Emilson Adenutsi, Alhassan Musah, Bismark Okyere, Marshall Wellington Blay and Daniel Odei Okyere. The Effect of Gender Diversity and Ownership Structures on Bank Stability in Ghana. [ref]: vol.22.2024. available at: https://refpress.org/ref-vol22-a46/
Licensee REF Press This is an open access article licensed under the terms of the Creative Commons Attribution Non-Commercial License (http://creativecommons.org/licenses/by-nc/3.0/) which permits unrestricted, non-commercial use, distribution and reproduction in any medium, provided the work is properly cited.