Title: Bank diversification, governance structure and the performance of Tunisian listed banks

Authors: Dorsaf Ben Aissia

Addresses: Higher Institute of Accounting and Business Administration, University of Manouba, 2010 Manouba, Tunisia

Abstract: This paper examines the relevance of the effect of the bank diversification and the governance structure on the performance of Tunisian listed banks. Using a sample of ten Tunisian conventional banks listed on the Tunis Stock Exchange over a period extending from 2013 to 2019, our study shows that the diversity of assets of the Tunisian banks affects positively their performance. It also identifies that the governance variables, particularly the board size, the institutional ownership and the outside directors on audit committee, play an important role in determining the performance of listed banks. These results confirm that governance matters as it amplify the positive relationship between bank diversification and profitability.

Keywords: bank diversification; performance; governance structure.

DOI: 10.1504/AJAAF.2021.119212

African Journal of Accounting, Auditing and Finance, 2021 Vol.7 No.4, pp.346 - 360

Received: 27 Mar 2021
Accepted: 15 May 2021
Published online: 29 Nov 2021 *

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