CORPORATE GOVERNANCE MECHANISM ON VOLUNTARY RISK MANAGEMENT DISCLOSURE AMONG LISTED NON-FINANCIAL FIRMS ON THE NIGERIA EXCHANGE GROUP

Abstract

The purpose of this study is to examine corporate governance mechanism and risk management disclosures in the annual reports of listed non-financial service firms in Nigeria exchange group from 2012 to 2021 and also to find the effect corporate governance has led to full disclosure of asset quality. Expost facto research design was adopted. The study utilized data from capital market fact book with an average report on shareholders fund, board size, board composition, audit size, risk ratio in evaluating the magnitude of risk management disclosure by the firms in this study. Data were analyzed using descriptive and multiple regression method of analysis.  From the results obtained, the study revealed that there is a high disclosure intensity of risk management practice by the sampled firms. Though the board composition usually does not determine the extent of risk disclosure however, the board size, audit size, shareholders influence the disclosure level.  Based on the findings, it is hereby recommended that Nigeria's regulatory agencies come up with further strategies to ensure that publicly traded companies are actively involved in exposing their risk management methods, particularly with regard to operational, environmental and policy risks that may affect their asset quality.