The Corporate Governance, Dividend Payout, and Ownership Structure: Evidence From Pakistan Non-Financial Listed Firms

Abstract

This study examines the impact of corporate governance on the Pakistan Stock Exchange non-financial sector dividend payment ratio. Research demonstrates that certain features or elements moderate organizations and industries. Thus, ownership limits dividend payout ratio. The study examines the relationship between corporate governance, ownership structures, and dividend payment ratios. The board structure, CEO duality, and independent board of directors are also covered. Panel data analysis examines standard accounting variables. Uses 2016–2020 non-financial firm statistics. These discoveries have made independent boards with non-resident members and higher dividends more crucial. Bigger boards with independent directors pay less dividends. CEO duality in the top five stockholder boards also negatively impacts dividend decisions at 5% significance. The ownership structure moderated findings that contradict earlier work but are supported by current conditions. Our analysis enriches literature in two ways: First, we evaluate corporate governance and dividend payout ratio for the non-financial sector across time. Second, we use ownership structure as a moderator