title: Improving corporate governance in Nepalese financial institutions to promote growth and performance

authors: Acharya, Sanjeev

subjects: corporate governance

abstract: This study investigates the impact of corporate governance practices on the performance of commercial banks in Nepal. Specifically, the analysis focuses on the relationship between corporate governance mechanisms and financial performance. It explores the influence of corporate governance policies, guidelines and directives issued by the central bank, Nepal Rastra Bank, and self-initiatives implemented by the commercial banks. 
The research undertaken in this thesis is important to stimulate economic growth and to encourage a more equitable sharing of growth. The lack of proper development of corporate governance and monitoring of financial systems results in a failure to capitalise on growth opportunities when they arise. A lack of capital is a major inhibitor to development, and enhanced governance will be a major fillip in promoting investor confidence, leading to a deeper and more efficient capital market in Nepal. There are many untapped opportunities in Nepal and a well-developed capital market will attract more local and foreign investors. An improved capital market will alleviate unemployment, and the balance of payments deficit, help to restrain the brain drain and help foster financial stability, strengthen risk management and ultimately contribute to a strong financial system.
A significant portion of Nepalese people, variously estimated to be around 30 per cent, do not have access to formal financial services and rely on informal service providers. There are many providers who take advantage of high interest rates, with financial frauds gaining recurring coverage in the news media. These issues are not specific to the informal sector; they also occur in the formal financial sector. There have been several corporate governance failures in Nepali banks including the Nepal Development Bank Limited, the first Commercial Banks of Nepal-Nepal Bank Limited, Nepal Bangladesh Bank, Lumbini Bank, Gurkha Development Bank, United Development Bank, giving rise to demands for greater transparency and accountability in the way banks are controlled and managed. 
Good corporate governance builds the platform for a smooth, faster, easier and reliable financial system, clarifying responsibilities, fostering transparency and fairness to encourage greater individual accountability. Although various corporate governance mechanisms have evolved in developed countries, their applicability in a low-income country such as Nepal may not be efficacious due to differences in political, cultural, social and economic factors. Hence this thesis addresses the requirement for an evidence-based study that evaluates the best fit corporate governance mechanisms applicable for the Nepalese banking sector.
Panel data were collected from all commercial banks' annual reports, central bank reports and world development indicators. The time period for the study commences in 2003, after the period of Maoist insurgency, and ends in 2012, prior to the devastating earthquake. The analysis proceeds using quantile regression, which is appropriate given the distributional properties of the data. 
This thesis contributes to the existing literature of corporate governance and bank performance in several ways. First, it contributes with a precis of how corporate governance developed in Nepal during severe political turmoil, including civil wars. Second, the method used is more robust than approaches reported in prior research and the careful diagnostics potentially provide useful guidance for other low-income country studies. Third, the present study recommends possibilities to improve corporate governance practices of financial institutions in Nepal by formulating good policies, processes and robust regulatory and supervisory systems. These improvements will ultimately lead to strengthening institutional structures, which in turn will foster various opportunities for sustainable development, not only in the banking sector but the economy as a whole.  
The findings indicate that corporate governance does affect the financial performance of commercial banks in Nepal. The results indicate that corporate governance structures, e.g., board size, existence of CFO, percentage of minority directors and the percentage of female directors have statistically positive effects on performance, while the percentage of external directors has a negative impact on bank performance. 
The findings from this study provide guidance to assist with policy formulation by highlighting the key areas that foster good governance, which in turn can improve the financial performance of the Nepali banks. The formulation and implementation of laws, regulations and policies by the government and central bank will enhance financial capability, reduce banking failures and build trust amongst depositors to help and develop more sustainable sources of financing.

text: Improving corporate governance in Nepalese financial institutions to promote growth and performance This study investigates the impact of corporate governance practices on the performance of commercial banks in Nepal. Specifically, the analysis focuses on the relationship between corporate governance mechanisms and financial performance. It explores the influence of corporate governance policies, guidelines and directives issued by the central bank, Nepal Rastra Bank, and self-initiatives implemented by the commercial banks. 
The research undertaken in this thesis is important to stimulate economic growth and to encourage a more equitable sharing of growth. The lack of proper development of corporate governance and monitoring of financial systems results in a failure to capitalise on growth opportunities when they arise. A lack of capital is a major inhibitor to development, and enhanced governance will be a major fillip in promoting investor confidence, leading to a deeper and more efficient capital market in Nepal. There are many untapped opportunities in Nepal and a well-developed capital market will attract more local and foreign investors. An improved capital market will alleviate unemployment, and the balance of payments deficit, help to restrain the brain drain and help foster financial stability, strengthen risk management and ultimately contribute to a strong financial system.
A significant portion of Nepalese people, variously estimated to be around 30 per cent, do not have access to formal financial services and rely on informal service providers. There are many providers who take advantage of high interest rates, with financial frauds gaining recurring coverage in the news media. These issues are not specific to the informal sector; they also occur in the formal financial sector. There have been several corporate governance failures in Nepali banks including the Nepal Development Bank Limited, the first Commercial Banks of Nepal-Nepal Bank Limited, Nepal Bangladesh Bank, Lumbini Bank, Gurkha Development Bank, United Development Bank, giving rise to demands for greater transparency and accountability in the way banks are controlled and managed. 
Good corporate governance builds the platform for a smooth, faster, easier and reliable financial system, clarifying responsibilities, fostering transparency and fairness to encourage greater individual accountability. Although various corporate governance mechanisms have evolved in developed countries, their applicability in a low-income country such as Nepal may not be efficacious due to differences in political, cultural, social and economic factors. Hence this thesis addresses the requirement for an evidence-based study that evaluates the best fit corporate governance mechanisms applicable for the Nepalese banking sector.
Panel data were collected from all commercial banks' annual reports, central bank reports and world development indicators. The time period for the study commences in 2003, after the period of Maoist insurgency, and ends in 2012, prior to the devastating earthquake. The analysis proceeds using quantile regression, which is appropriate given the distributional properties of the data. 
This thesis contributes to the existing literature of corporate governance and bank performance in several ways. First, it contributes with a precis of how corporate governance developed in Nepal during severe political turmoil, including civil wars. Second, the method used is more robust than approaches reported in prior research and the careful diagnostics potentially provide useful guidance for other low-income country studies. Third, the present study recommends possibilities to improve corporate governance practices of financial institutions in Nepal by formulating good policies, processes and robust regulatory and supervisory systems. These improvements will ultimately lead to strengthening institutional structures, which in turn will foster various opportunities for sustainable development, not only in the banking sector but the economy as a whole.  
The findings indicate that corporate governance does affect the financial performance of commercial banks in Nepal. The results indicate that corporate governance structures, e.g., board size, existence of CFO, percentage of minority directors and the percentage of female directors have statistically positive effects on performance, while the percentage of external directors has a negative impact on bank performance. 
The findings from this study provide guidance to assist with policy formulation by highlighting the key areas that foster good governance, which in turn can improve the financial performance of the Nepali banks. The formulation and implementation of laws, regulations and policies by the government and central bank will enhance financial capability, reduce banking failures and build trust amongst depositors to help and develop more sustainable sources of financing.

year: 2018

title: Restricted divisor sums

authors: Broughan, Kevin A.

subjects: Dirichlet series

abstract: There is a body of work in the literature on various restricted sums of the number of divisors of an integer function including that described in [2-9, 11] and summarised in Section 2 below.

text: Restricted divisor sums There is a body of work in the literature on various restricted sums of the number of divisors of an integer function including that described in [2-9, 11] and summarised in Section 2 below.

year: 2002

title: Homai raa. Kia purutia, kia hereherea, taawhiwhi taamau. Ka pai. Taawhiwhi  taumau, he tauira waiora a Waikato : The creation of a Waikato-specific Maaori health model

authors: Haggie, Marrin Brian Pikitawhaki

subjects: Taawhiwhi Taamau

abstract: This Doctoral rangahau (research) sought to create a Maaori (Indigenous people of New Zealand) health model specific to the health needs and desires of the people of Waikato (The collective name of the tribes of the Waikato basin). Globally, minority populations (including Maaori) are consistently and disproportionately over represented in many health, education and incarceration statistics. Colonisation, oppression and racial prejudices have been identified as the root causes for the statistical imbalances prevalent in society. Indigenous populations have endured suffering caused by disconnection from heritage, traditional practices, ancestral beliefs and the natural environment. All are consequences of legislative enforcement and an oppressive, colonialist attitude that patronises indigenous populations (i.e., that assumes the coloniser knows what is best for the colonised). 

For the majority of colonisation, the health models and frameworks intended to benefit indigenous peoples, yet designed and implemented by colonial based, oppressive governments and by institutions rooted in colonialist ideals, have consistently failed to provide and deliver health and wellness for indigenous peoples. The fact that indigenous peoples’ health continues to be poorer than their non-indigenous counterparts, in the majority of health measures, suggests models and frameworks designed by non-indigenous people do not work for indigenous populations. This has led to an emergence of indigenous and minority populations’ movements seeking to emancipate themselves from the shackles of colonial oppression. 

Pioneering health models and frameworks designed to counter the failures of those designed by the oppressor have provided salvation for indigenous peoples and have allowed the voices of minority populations to be heard in the health and wellbeing context; however the majority of these models have been overly generic. Yet, they have provided foundations that now must be built upon to enable a focus on what specific populations require to ensure their health and lifestyle ideals are supported and strengthened.

As whaanau (family), marae (place of gathering and belonging for interrelated families), hapuu (subtribe), and as an iwi (tribe), Waikato have a responsibility to our taiao (natural environment), ourselves and to future generations to ensure the health of Waikato and that Waikatotanga (Waikato culture and practice) continues to grow, prosper, and flourish. Therefore, as a polity we must assert the control and direction of our iwi by determining and creating our own models and frameworks to ensure the survival, the growth, and the success of our people.

This Rangahau Kaupapa Waikato (Waikato focused research) is centered on the question ‘What elements must be considered in the creation and the application of a Waikato-specific, Maaori health model?’ Contemporary literature and research regarding health and the impacts on Indigenous and Maaori health specifically, was used to review the successes and failures of contemporary health models. 

Supported and framed by a Rangahau Kaupapa Maaori (Maaori focused research) approach, this Rangahau Kaupapa Waikato utilised Waikato koorero (stories), beliefs, practices and methodologies, interspersed with Qualitative Methodology and Thematic Analysis. Fourteen semi-structured interviews with tribal leaders and holders of tribal knowledge, referred to as taniwha, were conducted. Each taniwha shared their knowledge, understandings, and experiences to inform and contribute to the creation of a holistic health model specific to the iwi of Waikato.

The findings illustrate continued connection to the Waikato awa (river), the taiao (natural environment), wairuatanga (spirituality), ancestral knowledge and practices, the Kiingitanga (Maaori King Movement) and to the iwi itself are critical to the perpetuation of the waiora (health) of the Waikato iwi and of Waikatotanga in its multiple forms.

The model created as the primary outcome of this research, The Taawhiwhi Taamau Model of Waiora (Taawhiwhi Taamau), was designed to act as a vehicle which seeks to enable individual iwi members, and the polities that they belong, to achieve Mana-motuhake (autonomy) and self-determination of their own health. Taawhiwhi Taamau seeks to inform its adopters that Mana-motuhake can be achieved without having to compromise any of the tikanga (protocol) and kawa (custom) of our iwi and of our ancestors in favour of colonial government introduced, western ideals. Thereby removing the oppressor from the implementation and application of health. 

Taawhiwhi Taamau is a health model entrenched in Waikatotanga that utilises the beliefs and practices of our ancestors, and subsequently, our iwi to facilitate Tupuna (ancestor) Guided Living. The model encourages the individual iwi member to build solid foundations of waiora, seek knowledge and understanding of our tupuna, and use the experiences in life to act as taniwha for others seeking guidance, knowledge, connection, understanding and waiora. 

The adoption and practice of Taawhiwhi Taamau suggests individuals will find a new, refreshed connection to tupuna, maatauranga (wisdom, knowledge), wairuatanga and Waikatotanga, therefore, increasing waiora. Increased waiora of the individual increases the waiora and the capacity of one’s whaanau, marae and hapuu thereby increasing the waiora and the capacity of the iwi. Increased waiora and capacity of the iwi increases the likelihood of Waikatotanga, maatauranga, wairuatanga and, thus, the perpetuation of Tupuna Guided Living. Consequently, encapsulating the essence of Taawhiwhi Taamau as a model and as the lesson learned in the Pai Maarire Te Kura o te Ahiahi, ‘Homai ra, kia purutia, kia hereherea, taawhiwhi taamau. Ka Pai’.

text: Homai raa. Kia purutia, kia hereherea, taawhiwhi taamau. Ka pai. Taawhiwhi  taumau, he tauira waiora a Waikato : The creation of a Waikato-specific Maaori health model This Doctoral rangahau (research) sought to create a Maaori (Indigenous people of New Zealand) health model specific to the health needs and desires of the people of Waikato (The collective name of the tribes of the Waikato basin). Globally, minority populations (including Maaori) are consistently and disproportionately over represented in many health, education and incarceration statistics. Colonisation, oppression and racial prejudices have been identified as the root causes for the statistical imbalances prevalent in society. Indigenous populations have endured suffering caused by disconnection from heritage, traditional practices, ancestral beliefs and the natural environment. All are consequences of legislative enforcement and an oppressive, colonialist attitude that patronises indigenous populations (i.e., that assumes the coloniser knows what is best for the colonised). 

For the majority of colonisation, the health models and frameworks intended to benefit indigenous peoples, yet designed and implemented by colonial based, oppressive governments and by institutions rooted in colonialist ideals, have consistently failed to provide and deliver health and wellness for indigenous peoples. The fact that indigenous peoples’ health continues to be poorer than their non-indigenous counterparts, in the majority of health measures, suggests models and frameworks designed by non-indigenous people do not work for indigenous populations. This has led to an emergence of indigenous and minority populations’ movements seeking to emancipate themselves from the shackles of colonial oppression. 

Pioneering health models and frameworks designed to counter the failures of those designed by the oppressor have provided salvation for indigenous peoples and have allowed the voices of minority populations to be heard in the health and wellbeing context; however the majority of these models have been overly generic. Yet, they have provided foundations that now must be built upon to enable a focus on what specific populations require to ensure their health and lifestyle ideals are supported and strengthened.

As whaanau (family), marae (place of gathering and belonging for interrelated families), hapuu (subtribe), and as an iwi (tribe), Waikato have a responsibility to our taiao (natural environment), ourselves and to future generations to ensure the health of Waikato and that Waikatotanga (Waikato culture and practice) continues to grow, prosper, and flourish. Therefore, as a polity we must assert the control and direction of our iwi by determining and creating our own models and frameworks to ensure the survival, the growth, and the success of our people.

This Rangahau Kaupapa Waikato (Waikato focused research) is centered on the question ‘What elements must be considered in the creation and the application of a Waikato-specific, Maaori health model?’ Contemporary literature and research regarding health and the impacts on Indigenous and Maaori health specifically, was used to review the successes and failures of contemporary health models. 

Supported and framed by a Rangahau Kaupapa Maaori (Maaori focused research) approach, this Rangahau Kaupapa Waikato utilised Waikato koorero (stories), beliefs, practices and methodologies, interspersed with Qualitative Methodology and Thematic Analysis. Fourteen semi-structured interviews with tribal leaders and holders of tribal knowledge, referred to as taniwha, were conducted. Each taniwha shared their knowledge, understandings, and experiences to inform and contribute to the creation of a holistic health model specific to the iwi of Waikato.

The findings illustrate continued connection to the Waikato awa (river), the taiao (natural environment), wairuatanga (spirituality), ancestral knowledge and practices, the Kiingitanga (Maaori King Movement) and to the iwi itself are critical to the perpetuation of the waiora (health) of the Waikato iwi and of Waikatotanga in its multiple forms.

The model created as the primary outcome of this research, The Taawhiwhi Taamau Model of Waiora (Taawhiwhi Taamau), was designed to act as a vehicle which seeks to enable individual iwi members, and the polities that they belong, to achieve Mana-motuhake (autonomy) and self-determination of their own health. Taawhiwhi Taamau seeks to inform its adopters that Mana-motuhake can be achieved without having to compromise any of the tikanga (protocol) and kawa (custom) of our iwi and of our ancestors in favour of colonial government introduced, western ideals. Thereby removing the oppressor from the implementation and application of health. 

Taawhiwhi Taamau is a health model entrenched in Waikatotanga that utilises the beliefs and practices of our ancestors, and subsequently, our iwi to facilitate Tupuna (ancestor) Guided Living. The model encourages the individual iwi member to build solid foundations of waiora, seek knowledge and understanding of our tupuna, and use the experiences in life to act as taniwha for others seeking guidance, knowledge, connection, understanding and waiora. 

The adoption and practice of Taawhiwhi Taamau suggests individuals will find a new, refreshed connection to tupuna, maatauranga (wisdom, knowledge), wairuatanga and Waikatotanga, therefore, increasing waiora. Increased waiora of the individual increases the waiora and the capacity of one’s whaanau, marae and hapuu thereby increasing the waiora and the capacity of the iwi. Increased waiora and capacity of the iwi increases the likelihood of Waikatotanga, maatauranga, wairuatanga and, thus, the perpetuation of Tupuna Guided Living. Consequently, encapsulating the essence of Taawhiwhi Taamau as a model and as the lesson learned in the Pai Maarire Te Kura o te Ahiahi, ‘Homai ra, kia purutia, kia hereherea, taawhiwhi taamau. Ka Pai’.

year: 2021