The Role of ASEAN Corporate Governance Socrecard and Managerial Ownership on Firm Performance in Indonesian Banking Sector

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Published: Aug 16, 2025
DOI: https://doi.org/10.64458/asbnic.v1.39
Keywords:
ASEAN Corporate Governance Scorecard, Managerial Ownership, Firm Performance, Banking Sector

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Khoirina Noor Anindya
Universitas Islam Indonesia, Indonesia

Abstract

 


Firms implement corporate governance to reduce agency problems. One measure of corporate governance is the ASEAN Corporate Governance Scorecard (ACGS) which was agreed upon by the ASEAN Capital Market Forum (ACMF). In addition, firms also use managerial ownership to mitigate principal-agent problems. The purpose of this research is to examine the influence of ASEAN Corporate Governance Scorecard (ACGS) and managerial ownership on firm performance. This research uses secondary data from the Indonesian Stock Exchange (IDX), the Asian Development Bank (ADB), and the Indonesian Institute for Corporate Directorship (IICD). The analytical tool used is EViews with Generalized Least Square (GLS) method. The results show that ASEAN Corporate Governance Scorecard (CGS) has a positive effect on firm performance and managerial ownership does not affect the firm performance in Indonesian banking sector.

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Vol. 1 (2024): Volume 1, Tahun 2024
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