Abstract:

In the light of corporate financial scandals, there is an ever increasing attention on corporate governance issues. As the investors look for emerging economies to diversify their investment portfolios to maximize returns, they are equally concerned about governance factors to minimize risks in these economies. The Government of Nigeria and other stakeholders have therefore directed their effort in enhancing Corporate Governance in various organizations. This became the motivation of this study, which is focused on examining the relationship between Corporate Governance and Financial Performance of multipurpose Cooperative Societies in Lagos State Nigeria. A cross sectional research design was used for the research study, with the aid of secondary data. The purposive sampling techniques were adopted for the study. Two (2) multipurpose Cooperative Societies were selected based on the availability of their financial statements. The data obtained were analyzed using the STATA software. From the analyses, it was established that, Corporate Governance has no significant effect on the financial performance of these multipurpose Cooperative Societies. However, it impacted positively on diligence of procedures, records kept and conduct of daily business. The researcher however opined that the radical improvement noticed in the level of governance and financial ethics introduced by the various regulatory authorities should be maintained at all levels of stewardship in organizations.

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