High standards and principles in the governance of companies and banks are indispensable for emerging\nmarkets and economic growth; banks have a critical position in economiesâ?? progress, due to their major role\nin running the financial system. Moreover, banking industry is distinctive since it is concurrently\nconsolidating and diversifying. Therefore, robust bank corporate governance is, indeed, an essential\nconstituent for promoting a more resilient financial system.Previous literature analysis highpoints the\nrepercussions of banksâ?? specific traits on their corporate governance framework, stressing two foremost\naspects: higher opaqueness and imperviousness, and higher regulation, respectively. In this context, our\nresearch aims to measure bank corporate governance in Romania, by assessing the corporate governance\nquality and effectiveness in the main Romanian banks. Evaluating corporate governance eminence is\nconstructed on its own determined score of disclosure and transparency practices, the sample consisting in\nthe 4 Romanian banks currently listed on Bucharest Stock Exchange is: Banca Transilvania, BRD, Erste Group\nand Patria Bank.This was performed by appraising the importance level given to corporate governance\nprinciples, after a brief monitoring and dissemination of information regarding transparency and disclosure\npractices of the banks in the selected sample. By using the score function model, the research seeks to\ncategorize to what degree concepts and principles of corporate governance are spread. Moreover, the paper\nseeks to give emphasis to the current state of corporate governance in Romanian regulatory framework and\nthe quality of corporate governance culture in Romanian banks that are listed on Bucharest Stock Exchange\n(BSE). In this respect, we performed an investigation of the mode in which the principles enforced by the\nOrganisation for Economic Co-operation and Development (and other governance regulations) are\nrespected in four top Romanian banks. Another objective of our paper finds its correspondence in providing\na comprehensive synopsis of potential influence that the key players of corporate governance (board of\ndirectors, executive management, auditor and shareholders) might have on banksâ?? performance. We\nconsider our goal important due to the growing number of governance failures and corporate scandals\naffecting banking environment, which gave rise to the last financial crisis and made the corporate\ngovernance a controversial subject. In this framework, we reached valuable conclusions regarding a\nsatisfactory compliance level with corporate governance requirements regarding Romanian banks that are\nlisted on BSE. In this sense, the research emphasized, to some degree, a high level of adoption of the best\npractice doctrines, in comparison with smaller banks in Romania.â?
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