Strategic Alliances and Performance of Commercial State-owned Enterprises in Nairobi City County, Kenya

Most commercial State-Owned Enterprises (SOEs) in Nairobi, Kenya, have been underperforming, often relying on financial bailouts. This study investigated the impact of strategic alliances on their performance, focusing on resource sharing, risk sharing, regulatory compliance, and cost-efficiency-based alliances. Grounded in resource reliance, resource-based view, and public interest theories, the study employed a descriptive survey design, targeting all 37 commercial SOEs in Nairobi. Using purposive sampling, one senior manager from each SOE participated, and structured questionnaires were used for data collection. Data analysis involved descriptive statistics (mean, standard deviation, and coefficient of variation) and inferential statistics (Pearson correlation and multivariate regression). Results indicated that strategic alliances significantly influenced SOE performance, explaining 88.7% of performance variation. Resource-sharing alliances had a positive and significant effect, while risk-sharing alliances also strongly predicted performance (β2= .369, p=.005). Regulatory compliance-based alliances had the highest effect, and cost-efficiency-based alliances significantly enhanced performance (β4= .454, p=.000). The F-calculated value (63.043) exceeded the critical value (2.69), confirming the strong relationship between strategic alliances and SOE performance. The study concluded that forming strategic alliances is crucial for improving the financial and operational sustainability of commercial SOEs in Kenya

Effect of Information Asymmetry, Institutional Ownership and Related Party Transaction on Real Earnings Management in Listed Companies in Nigeria

This study examines the effect of information asymmetry, institutional ownership, and related party transactions on real earnings management (REM) among listed manufacturing firms in Nigeria over the period 2018–2022. Drawing on agency theory and signalling theory, the study employs an ex-post facto research design and utilises panel data regression techniques to analyse secondary data extracted from the audited annual reports of ten purposively selected firms. The analysis, conducted using STATA 15, reveals that information asymmetry exerts a positive and statistically significant influence on REM, indicating that firms with less transparent information environments are more likely to engage in earnings manipulation through operational activities. Additionally, institutional ownership is found to have a significant and positive effect on REM, suggesting that institutional investors in Nigeria may exert short-term performance pressures or lack the monitoring intensity typically observed in more developed markets. In contrast, related party transactions exhibit a negative but statistically insignificant relationship with REM, implying a limited role in shaping earnings manipulation practices during the review period. The findings underscore the need to enhance financial reporting transparency, promote active and independent institutional shareholding, and maintain stringent oversight of related party transactions. The study contributes to the growing body of literature on earnings management in emerging markets and offers practical insights for regulators, investors, and corporate boards seeking to strengthen financial accountability and market integrity in Nigeria

Impact of Lease Financing on the Financial Performance of Listed Firms in Kenya

The financial performance of manufacturing firms listed on the Nairobi Securities Exchange (NSE) has experienced fluctuations, with some firms stagnating or declining, raising concerns among stakeholders such as the government, investors, and shareholders. To address this, some firms are exploring lease financing to reduce asset acquisition costs. This study investigated the effect of lease financing on the financial performance of listed manufacturing firms, focusing on operating leases, finance leases, and leverage financing, while also examining the moderating effect of liquidity. The study was guided by Financial Contracting Theory, Walker’s Theory of Profit, Liquidity Preference Theory, and Trade-off Theory. A descriptive research design was employed, analyzing secondary data from 2017 to 2022 for all eight listed manufacturing firms. Using EVIEWS, descriptive and inferential analyses, including regression and correlation, were conducted alongside diagnostic tests. The findings revealed that operating leases and leverage financing positively and significantly influenced financial performance, whereas finance leases and liquidity had a negative yet significant impact. Liquidity was determined to be an independent factor rather than a moderating variable. The study recommends increased adoption of operating leases and leverage financing to improve financial performance, while advising caution in the use of finance leases. Further research is encouraged to investigate lease financing in other sectors, ensuring current insights and wider applicability in this area

Analysing the Role of Non-traditional Financial Disclosures in Enhancing Corporate Sustainability of High-risk Sectors in Iraq

Corporate sustainability has emerged as a significant concern for businesses operating in high-risk sectors, particularly in economies facing political instability, economic volatility, and regulatory uncertainties. This study examined the impact of non- traditional financial disclosures, specifically environmental, social, and governance (ESG) disclosures, on corporate sustainability within high-risk sectors in Iraq. Corporate sustainability was assessed using return on assets (ROA) and return on equity (ROE). The study employed ex-post facto research design, as it relied on existing data that was not subject to modification. It focused on a population of 15 selected listed companies from high-risk sectors in Iraq, namely banking, oil and gas, and construction. A purposive sampling method was adopted to select the firms. The research covered the period from 2013 to 2024. To analyze the relationships between the variables, variance-weighted least-squares regression analysis was applied. The findings revealed that non- traditional financial disclosures had a negative and statistically significant effect on the firm’s financial performance. An increase in ESG reporting was associated with a decline in ROA and ROE, suggesting that in unstable environments, the financial and operational burdens of non-financial disclosure may outweigh its short-term benefits. The study concluded that while non-financial disclosures are globally promoted as mechanisms to enhance corporate accountability and long-term sustainability, in high-risk sectors of Iraq, they appear to undermine short-term financial performance. This suggested that companies in the high-risk sectors should adopt a phased and strategic approach to ESG disclosure, focusing first on areas that align closely with their core business objectives and available resources

The State of Self-help Groups (SHGs) in Afghanistan: Evidence-based Analysis of the SHGs Situation and Implications for Social and Sustainable Development

Self-help groups have played a crucial role in fostering community empowerment, economic sustainability, and social resilience in conflict-affected regions like Afghanistan. This article explores the SHGs' situation, focusing on their role in socio-economic development and challenges they face due to political volatility, cultural norms, and infrastructural limitations. Therefore, the article checked if the Afghanistan Rural Enterprise Development Program (AREDP) groups are functional in post implementation era and also it outlines some major issues identified in AREDP and Women Economic Empowerment Development Program (WEERDP) groups and suggested some policy majors to overcome these issues. The assessment, conducted in June 2021, and assessed the functionality of SHGs and Village Savings & Loan Associations (VSLAs) promoted under the AREDP in all the four targeted provinces (Balkh, Herat, Nangrahar and Parwan). The study found that while groups were negatively affected by the Coronavirus Disease 2019 (COVID-19) pandemic and lack of post-implementation support, while the VSLAs maintained regular operations on more sustainable way. In addition, the SHGs and VSLAs of WEERDP during 2020, across all six regions (Kabul, Nangarhar, Khost, Balkh, Herat and Kandahar) were monitored. The major issues groups disintegrations and groups members’ dropout were identified. Furthermore, the current political and economic environment in Afghanistan has created additional uncertainties for SHGs, considering the unique socio-political context and the ongoing challenges including economic instability, Security concerns, and a lack of institutional support often hinder the functioning and sustainability of SHGs in post-2021 This manuscript provides essential insights into the current scenario of SHGs in Afghanistan. The empirical data collected offers crucial information about their status and suggests ways to improve the situation. This research can help stakeholders develop strategies to enhance the economic conditions of society

Corporate Governance and Working Capital Management in Selected Manufacturing Firms in Nigeria

This study examined the effect of corporate governance practices on working capital management of the selected consumer goods companies in Nigeria, spanning from 2015 to 2023. The model of study specifies that working capital management (cash conversion cycle) is a function of corporate governance (board size, board composition, board remuneration and corporate social responsibility). Using cross sectional data extracted from 10 consumer goods companies, and estimated using fixed panel regression, the study revealed that board of directors’ remuneration and corporate social responsibility adversely affected cash conversion cycle while board size and board composition positively affected it. Further findings revealed that none of the variables significantly impacted on cash conversion cycle. The findings of the study underscore the importance of corporate governance best practices tailored to firm-specific contexts to enhance liquidity and operational efficiency. This study contributes to the literature on corporate governance practices in emerging economies and offers actionable insights for practitioners and policymakers

Forensic Accounting Techniques and Performance of Listed Deposit Money Banks in Nigeria: An Investigative Approach

Fundamentally, deposit money banks derive their operations based on degree of integrity in their accounts, correctness and clear reporting that aids in boosting confidence of investors and the general public. This study looks at the apparent influence of forensic accounting techniques on the performance of the publicly listed Deposit Money Banks (DMBs) in Nigeria, and it applies the mixed methodological approach where survey and ex post facto strategies are applied. Data were gathered by administering structured questionnaires to 50 professional accountants working in banks in the capitals of Ondo and Ekiti States employing the stratified and census sampling methods. Regression analysis was employed to investigate the relationship between forensic accounting measures comprising forensic accounting procedures, reliability of reporting, detection of fraud, and forensic accounting methodologies and the performance of banks. The results show that forensic accounting practices have a substantial positive effect on bank performance (p = 0.0390), while other variables produced positive but statistically insignificant effects. The outcome of this study shows that the forensic accounting methods largely positively enhance bank performance. Banks should consider investing in forensic tools and training, infuse forensic processes into their operations, while regulatory agencies in the banking sector should encourage and support the development of forensic capacities in the rest of the industry for increased financial performance and fraud deterrence

Impact of Prudential Regulations on the Profitability of Commercial Banks Listed at the Nairobi Securities Exchange in Kenya

This study examines the impact of prudential regulations on the profitability of commercial banks listed on the Nairobi Stock Exchange (NSE), addressing the persistent challenge of unstable profitability in the sector. Existing literature largely focuses on general banking regulations but lacks insights into their specific effects on bank performance in Kenya. The study explores how capital adequacy, liquidity, and credit risk regulations influence profitability and whether bank size moderates this relationship. Guided by stakeholder, capital buffer, liquidity preference, efficiency structure, and resource-based theories, the study employs an explanatory research design, analyzing panel data from 2013 to 2021 for all 11 publicly traded banks in Kenya. Robust statistical analyses were conducted to ensure result validity. Findings indicate that liquidity and credit risk regulations significantly and negatively impact profitability when measured by Return on Assets (ROA) and Return on Equity (ROE). Stricter liquidity requirements reduce banks' ability to meet short-term financial obligations, thereby lowering profitability. Similarly, stringent credit risk regulations limit banks’ flexibility in lending, increasing the likelihood of non-performing loans and reducing earnings. However, capital adequacy regulations showed little effect on profitability, suggesting that Kenyan banks maintain sufficient capital reserves without directly influencing earnings. Additionally, the study found that bank size does not significantly moderate the relationship between prudential regulations and profitability. The study recommends that the Central Bank of Kenya review liquidity regulations to balance financial stability with profitability. Commercial banks should collaborate with regulators to refine credit risk policies, ensuring efficient loan utilization and improved loan recovery rates. Management should also optimize liquid asset holdings to enhance profitability while maintaining financial obligations. Credit managers should implement stricter approval processes to minimize non-performing loans, ultimately improving bank performance and stability

Evaluating Change Management Practices and Their Impact on Organizational Performance: A Case Study of NCBA Bank Kenya Plc

Organizational performance has increasingly become a focus for companies, especially after the 2008 global economic crisis. Change management practices are among the key strategies employed to sustain and enhance performance. NCBA Bank Kenya, formed from a merger between NIC and CBA banks, undertook significant changes including system upgrades to unify operations. While the initial phase of system consolidation was smooth, the second phase encountered migration challenges, leading to penalties for customers. The study assessed the relationship between change management practices and organizational performance at NCBA Bank Plc, Kenya. The study focused on four main objectives: the effect of change planning, communication, employee participation, and knowledge sharing on organizational performance. It was guided by the McKinsey 7s Model, Kotter’s model, Kurt Lewin’s Model, and the theory of organizational performance. A descriptive research design was used with a sample of 257 employees from NCBA’s head office and 35 Nairobi branches, selected through stratified random sampling. Data collection involved questionnaires (79% response rate) and document review. Instrument reliability was confirmed with a Cronbach alpha of 0.765. Data were analyzed using SPSS through multiple regression and correlation analysis. The results indicated that without change management, NCBA’s performance declined (R=2.194, p>0.05). However, improvements in change planning (R=1.119, p<0.05), employee participation (R=0.269, p<0.05), and knowledge sharing (R=0.276, p>0.05) positively impacted performance. The study recommends exploring change management in other financial institutions such as insurance and mortgage firms

The Economic Impact of Government Intervention in Public Transport System: A Case Study of the Uduaghan Bus Scheme in Delta State, Nigeria

This study investigated the Economic benefit of government intervention in public transport system with direct focus on the Uduaghan Bus Scheme which was introduced during the administration of Dr. Emmanuel Eweta Uduaghan which lasted from 2007 to 2015 in Delta State, Nigeria. The core aim of this paper is to address economic relevance of government intervention in urban/rural transportation system and the challenges regarding mass transit in Delta State. This Uduaghan initiative introduced 300 bus units to provide cost-effective, reliable and efficient transportation, thereby relieving traffic congestion associated with informal transport systems that are otherwise very costly in terms of safety and economic considerations. The study adopted mixed-method research, employing a combination of survey data and qualitative interviews to evaluate commuter/citizens satisfaction, operational efficiency and economic impacts of the Uduaghan Bus Scheme. The study results revealed that while the Uduaghan Bus Scheme has improved public transportation system, it still suffers from high operability setback which had considerably tilted the balance in favour of this scheme so far. This study concludes that there is drastic reduction in cost of transportation across board, easy accessibility to the urban and rural areas, and state-of-art transport vehicles within study period. Based on the findings of this study, it is recommended that; Nigeria government should subsidize the public transportation scheme through the provision of government transport bus scheme and provide quicker solution to its operational efficiency