Main Article Content
This study uses the CAMELS framework to examine the role of anti-corruption practice (ACP) in enhancing Nigerian financial institutions' financial performance (FP). The study uses panel data with 259 firm-year observations across the Nigerian listed financial institutions (NLFIs). Results from the two-step system generalized method of moments (SYS-GMM) show that the ACP of the NLFIs improves their FP. The results also demonstrate the ACP's role in FP enhancement in using the CAMELS framework and return on asset (ROA). Further examination reveals that the NLFIs' ACP mitigates their risks. Moreover, this is the first research to empirically analyze the link between the ACP and FP using the CAMELS framework in a developing country like the Nigerian financial system. The study is also the first to examine the ACP's function in guaranteeing the financial stability of financial institutions depending on their profitability and risk profiles.
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