COMPLIANCE WITH CORPORATE GOVERNANCE AND ITS EFFECT ON FINANCIAL REPORTING QUALITY: A CASE STUDY OF GT BANK PLC

ABSTRACT This study examined the compliance with corporate governance and its effect on financial reporting quality: a case study of GT Bank Plc, Bauchi branch. The study was motivated by the critical role of corporate governance in ensuring accurate, transparent, and reliable financial reporting, which is essential for enhancing investor confidence and sustaining the credibility of financial institutions. The study adopted a descriptive survey research design, targeting staff, management, and other relevant stakeholders within the branch. A total of 28 respondents were selected from a population of 30 using purposive sampling. Data were collected through a structured questionnaire employing a 5-point Likert scale and analyzed using frequency distributions, percentages, means, standard deviations, Pearson correlation, and multiple regression analysis. The findings revealed a strong positive relationship between corporate governance compliance and financial reporting accuracy, transparency, and investor confidence. Specifically, adherence to governance frameworks such as board oversight, audit committees, and internal control systems was found to enhance the reliability and clarity of financial reports while fostering trust among investors. However, the study also identified significant challenges hindering effective implementation, including management conflicts of interest, lack of adequate staff training, high compliance costs, resistance to change, and inadequate regulatory enforcement. The study concluded that corporate governance compliance is a vital determinant of financial reporting quality and investor confidence in GTBank Bauchi branch. It recommended that the bank strengthen staff training, enhance internal controls, promote transparency, address conflicts of interest, adopt cost-effective technology solutions, and collaborate with regulators to ensure robust governance practices. The findings contribute to the understanding of corporate governance in Nigerian banks and provide actionable insights for improving reporting quality and sustaining investor trust. Keywords: Corporate Governance, Financial Reporting Quality, Transparency, Investor Confidence, GT Bank, Nigeria