The objective of our study is to explore the relationship between corporate governance and the performance management of Islamic banks in Pakistan. To fulfill our aim, we used the data of the five central Islamic banks working in Pakistan from 2016–2020. The data was collected from reputable banks' annual reports, and the annual accounts are downloaded from the website of the PSX data portal. For the analysis of the relationship between the variables, we used the OLS methods of research that are useful for panel data analysis. Our results show that EPS is taken for performance management, and then BSIZE (board size) has a significant positive impact on performance management at a 1% level. It means that when we increase the number of board members in the total board composition, then they can make more accurate decisions on a timely basis, and that's why there's an increase in performance. Our results also show that BIND (board independence), or independent directors on the board, has a significant negative impact on performance management at the 10% level of the power. It results in when independent directors are added to the total board composition, performance suffers as a result of the independent director's burden. Independent directors charge a considerable amount for their services.
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