A Systematic Review of the Significance of Corporate Governance in the Global Banking Sector: Transparency, Stability, and Financial Performance

Volume 11, Issue 2, April 2026     |     PP. 43-73      |     PDF (344 K)    |     Pub. Date: March 11, 2026
DOI: 10.54647/economics790523    15 Downloads     211 Views  

Author(s)

Oluwatoyin Abayomi AMUDA, Department of Accounting and Finance, Robert Gordon University, Scotland, United Kingdom.
Ayotunde Qudus SAKA, Department of Accounting, Lagos State University, Nigeria.
Olaleye Ola ARULOGUN, Open and Distance Learning Centre, Ladoke Akintola University of Technology, Ogbomoso, Nigeria.
Michael Akintola ARUWAJI, Department of Accounting, Ladoke Akintola University of Technology, Ogbomoso, Nigeria

Abstract
Corporate governance has a critical role in enhancing financial transparency and ensuring the stability of banking institutions. This study reviews the impact of corporate governance practices on financial transparency and organisational stability in the banking sector. Adopting a qualitative methodology within an interpretivist framework, the research systematically reviews 30 peer-reviewed academic papers and regulatory reports published between 2014 and 2024. The initial investigation covers information from Scopus, Web of Science, and professional reports issued by the Basel Committee, OECD, and World Bank. Four key governance factors were identified during the analysis: board independence, effective audit systems, minimum capital requirements, and transparent disclosure practices. The findings suggest that complete financial transparency arises from ethical leadership together with independent boards and regulatory obedience, as shown by research data, thereby enabling corporations to maintain lower systemic risks. Banks achieve stability through proper governance structures that protect bank operations while gaining public and investor confidence in the banking sector.

Keywords
Corporate Governance, Financial Transparency, Financial Stability, Financial Reporting, Bank Performance.

Cite this paper
Oluwatoyin Abayomi AMUDA, Ayotunde Qudus SAKA, Olaleye Ola ARULOGUN, Michael Akintola ARUWAJI, A Systematic Review of the Significance of Corporate Governance in the Global Banking Sector: Transparency, Stability, and Financial Performance , SCIREA Journal of Economics. Volume 11, Issue 2, April 2026 | PP. 43-73. 10.54647/economics790523

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