Board Attributes and Financial Performance of Listed Firms in Uganda

Abstract

This study examines the relationship between Board of director attributes and financial performance of listed firms in Uganda. Board attributes of board size, Non-executive directors (board independence) and directors' shareholding are examined while controlling for firm size and leverage. The study uses a cross sectional research design, employing panel data of listed firms in Uganda for a period of four years. Financial and board attributes information is collected from annual reports of each firm. The study finds that non executive director's independence on board and large boards increase firm performance. We do not provide evidence to suggest that director's shareholding affects firm performance differently. Thus this study is consistent with evidence that shows the importance of board of directors' attributes on firm´s financial performance.