Investigating the relationship between corporate governance and firms’ dividend policy: An empirical study

Abstract

The relationship between corporate governance and dividend policy in existing literature is inconclusive; many previous studies in literature found positive and negative relation and others showed inconclusive results. Thus, this study is aiming to provide some empirical evidence on this relation that may help in investigating competing views in previous studies in literature. Descriptive analysis, coefficient of correlation and binary logistic regression was performed on a sample that includes all firms listed on Egyptian governance index, S&P/EGX ESG index, except banks and financial firms during the period from 2007 to 2010. The results showed a relationship between corporate governance and dividend policy.