F. I. TANIA1
1=Farah Ishrat Tania, Lecturer, Department of Business Administration, Premier University, Chittagong, Bangladesh.
Email: farah.sky82@gmail.com
ABSTRACT
The study was conducted at the Department of Business Administration, Premier University, Chittagong, Bangladesh during 2016 to present the Financial governance scenario in Bangladesh perspective especially the for financial management and to present some policy recommendations for getting good financial governance in Bangladesh. Financial governance is the set of processes, policies, laws and institutions affecting the way in which financial interventions are directed, administered or controlled. Internal financial governance monitors activities and then takes corrective action to accomplish organizational goals. Some researchers have found efficient governance in the framework of administration and its interventions which outfits in the supportive relationship between frequency of meetings and profitability. Others have found a negative relationship or no relationship between external board membership and performance. It is unlikely that board composition has a direct impact on firm performance. There is an observation that relationships between firm performance and executive compensation have failed to find consistent and significant relationships between executives’ remuneration and firm performance. Low average levels of pay-performance alignment do not necessarily imply that this form of governance control is inefficient. Not all firms experience the same levels of agency conflict and external and internal monitoring devices may be more effective for some than for others. Some vital recommendations are made and these include strict compliance of financial policies, following of financial rules and regulations, following of universal accounting practice that facilitates comparison of accounting data of inter-business entity, framing of administrative conduct to maintain efficacy of financial dealings, delegation of appropriate authority to sensitize ethics, integrity and existing rules and regulations and so forth.
Keywords: Financial Governance, Financial policy and Stakeholders.
*Short Communication.