JOURNAL OF LIAONING TECHNICAL UNIVERSITY
(NATURAL SCIENCE EDITION)
LIAONING GONGCHENG JISHU DAXUE XUEBAO (ZIRAN KEXUE BAN)
辽宁工程技术大学学报（自然科学版）
THE INFLUENCE OF GENDER DIVERSITY ON FINANCIAL PERFORMANCE OF QUOTED BANKS IN NIGERIA
YAKUBU Aminu Bello, Dr. MURTADHO, Alao, ADENIYI, Sarafadeen Diran (Ph.D), ADEDEJI Adeshina Akeem (Ph.D)
Abstract
This study investigates the influence of gender diversity on the financial performance of quoted deposit money banks in Nigeria. Adopting an ex post facto research design, the study employed a panel data methodology to analyse the relationship between board diversity and return on assets (ROA) over a ten-year period (2012–2021). Guided by a positivist philosophy and deductive reasoning, the research utilised a quantitative approach and purposive sampling, selecting thirteen banks listed on the Nigerian Stock Exchange (NGX) with consistent data records. Secondary data were sourced from annual reports, the Central Bank of Nigeria, and the Nigerian Deposit Insurance Corporation, while supplementary data were collected through stakeholder questionnaires. Panel regression models—including Fixed Effects, Pooled Mean Group (PMG), and Dynamic Autoregressive Distributed Lag (ARDL)—were used to assess both short- and long-run effects, while stationarity tests ensured the robustness of the model. The findings reveal a mean board diversity value of 17.688%, with significant variation across banks. A positive correlation (r = 0.269, p = 0.000) was observed between board diversity and ROA, suggesting that diverse boards are generally associated with better performance. However, ARDL results showed that while the short-run coefficient (0.050, p = 0.072) approached statistical significance, the long-run coefficient (0.013, p = 0.334) was not significant. These results imply that the positive effects of board diversity may be more immediate and less enduring. The study concludes that while gender diversity contributes to improved short-term financial outcomes, its long-term impact is more nuanced and context-dependent, highlighting the need for strategically tailored board composition.
Keywords: Gender diversity, Board composition, Financial performance, Nigerian banks, Panel data analysis