Effect of Risk Management Committee and Enterprise Risk Management on Performance of Banks in Nigeria

Abstract

The study investigated the collective effect of risk management committee and ERM on the performance of banks in Nigeria. Four objectives had been prepared to moderate the study and the hypotheses were in line with the objectives. Ex-post facto research design was used. Nine banks were selected using discretionary sampling technique whereas secondary data were extracted from the annual reports of the banks from 2010 to 2019. Descriptive statistics, correlation analysis and panel data regression analysis were employed in analyzing data. The results thereof show that risk committee account expertise has positive effect; Risk committee gender diversity has inverse effect and finally, ERM and risk committee attributes jointly has statistical significant and positive effect on performance of Nigerian banks. The study there from recommended amongst others that regulatory authorities should come up with legislations that should enforce and strengthen the implementations of ERM across firms.