Effect Of Dividend Payment On Corporate Performance In Nigerian Banks: A Study Of United Bank For Africa Plc

ABSTRACT

This study is to examine the effect of dividend payment on corporate performance in Nigerian banks. The specific objectives are: to determine the effect of dividend payment in profit after tax of banks in Nigeria; to assess the effect of dividend payment in gross earning of banks in Nigeria. To achieve the objectives of the study, Ex post facto Research design research design was adopted. To test the hypotheses, a simple regression technique was used. The study recommends that banks should as a matter of fact invest in productive ventures so as to guarantee regular or annual dividend payment. The study also recommends that organizations, more so banks should have a robust dividend policy that will cater for the need of the various interest groups especially the ordinary shareholders who are the real investors to avoid divestment which negatively impact on their corporate performance.