Impact of Board Diversity on Dividend Policy of listed Deposit Money Banks in Nigeria

Kabir Ibrahim
kabiribrahim22@gmail.com
+2348060507245
Department of Social Sciences & Administration
Bayero University, Kano
Ishaq Alhaji Samaila PhD
ishaqabuhaidara@gmail.com
Department of Accounting
Bayero University, Kano

The study examined the relationship between board diversity and dividend policy of listed Deposit
Money Banks in Nigeria. To achieve this objective, a descriptive and explanatory research design
was employed and the data were generated from annual financial report and accounts of 12
sampled firms from 2012 to 2020. Descriptive statistics and regression analysis were used in data
analysis. The study found that board gender had a positive but statistically insignificant impact on
dividend policy of listed Deposit Money Banks in Nigeria, while foreign directors had negative
and statistically significant impact on dividend policy. Profitability measured by return of asset
and firm size had a positive and statistically significant impact on dividend policy of listed DMB’s
while firm age had a negative and statistically significant impact on dividend policy. The study
recommends that board diversity should go beyond gender and foreign classification, other
diversity features should be encouraged. This will foster favourable effects on dividend policy in
order to address agency problems.
Key words: Gender, Foreign, Dividend policy, DMB

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