Corporate Governance and Risk Disclosures

ABSTRACT

The study examines the relationship between corporate governance and risk disclosures among Nigerian quoted firms.

The study utilised descriptive statistics, correlation analysis and the ordinary least square (OLS) regression methodology to analyse the existence of relationships between corporate governance variables and risk disclosures. The study focused on manufacturing firms and utilised a sample of 50 quoted companies covering a period of 6 years (2013-2018).

The results indicate the existence of a positive and significant relationship between board size, board gender diversity, audit committee independence and risk disclosure. Board independence exhibited a negative and non-significant relationship with risk disclosure. The study recommends that the Institute of Chartered Accountants of Nigeria (ICAN) and the Association of National Accountants of Nigeria (ANAN) should ensure that their professional members carry out audit engagements with due diligence. Moreover, management, regulators, investors and other stock market participants should play their unique and important roles in enhancing companies’ disclosure of risk in Nigeria.