Impact of corporate governance practices on the effectiveness of audit committees in regulatory authorities: evidence from Tanzania
Abstract This study examines the impact of corporate governance practices on the effectiveness of audit committees within regulatory authorities in Tanzania. This subject is important to regulatory authorities and policy-makers in reflecting on their corporate governance practices. Adopting a quanti...
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| Format: | Article |
| Language: | English |
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SpringerOpen
2025-05-01
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| Series: | Future Business Journal |
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| Online Access: | https://doi.org/10.1186/s43093-025-00537-3 |
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| author | Habibu Suluo Gwahula Raphael Saganga Kapaya |
| author_facet | Habibu Suluo Gwahula Raphael Saganga Kapaya |
| author_sort | Habibu Suluo |
| collection | DOAJ |
| description | Abstract This study examines the impact of corporate governance practices on the effectiveness of audit committees within regulatory authorities in Tanzania. This subject is important to regulatory authorities and policy-makers in reflecting on their corporate governance practices. Adopting a quantitative approach, the research targeted board members, management, accountants, and auditors from 18 regulatory authorities, considering a random sample of 300 respondents. Data were collected from 241 participants who responded to the survey questionnaire, equivalent to 80.3% of the sample. Data were analyzed using regressions and the Jamovi software. The results revealed a positive and significant impact of corporate governance practices on the effectiveness of audit committees in regulatory authorities. Specifically, the audit committee’s role in board governance and the internal audit function were observed to have a strong impact, highlighting the importance of internal governance mechanisms. In contrast, the audit committee’s role in external audits had a limited impact, suggesting the need for better integration between the internal audit and external audit functions. In addition, the audit committee’s role in financial reporting and the authorization of financial statements were identified as key contributors to audit committee effectiveness, highlighting the importance of the audit committee’s oversight role in financial reporting processes and compliance. The study provides valuable insights for regulatory authorities and other public sector entities in Tanzania and beyond, seeking to enhance corporate governance practices and audit committee effectiveness by strengthening internal audit functions, improving board governance, and promoting better coordination between internal and external audit functions. |
| format | Article |
| id | doaj-art-a04a71369fae409fb117feac8b1c62d4 |
| institution | Kabale University |
| issn | 2314-7210 |
| language | English |
| publishDate | 2025-05-01 |
| publisher | SpringerOpen |
| record_format | Article |
| series | Future Business Journal |
| spelling | doaj-art-a04a71369fae409fb117feac8b1c62d42025-08-20T03:48:18ZengSpringerOpenFuture Business Journal2314-72102025-05-0111111610.1186/s43093-025-00537-3Impact of corporate governance practices on the effectiveness of audit committees in regulatory authorities: evidence from TanzaniaHabibu Suluo0Gwahula Raphael1Saganga Kapaya2Faculty of Business Management, The Open University of TanzaniaFaculty of Business Management, The Open University of TanzaniaFaculty of Business Management, The Open University of TanzaniaAbstract This study examines the impact of corporate governance practices on the effectiveness of audit committees within regulatory authorities in Tanzania. This subject is important to regulatory authorities and policy-makers in reflecting on their corporate governance practices. Adopting a quantitative approach, the research targeted board members, management, accountants, and auditors from 18 regulatory authorities, considering a random sample of 300 respondents. Data were collected from 241 participants who responded to the survey questionnaire, equivalent to 80.3% of the sample. Data were analyzed using regressions and the Jamovi software. The results revealed a positive and significant impact of corporate governance practices on the effectiveness of audit committees in regulatory authorities. Specifically, the audit committee’s role in board governance and the internal audit function were observed to have a strong impact, highlighting the importance of internal governance mechanisms. In contrast, the audit committee’s role in external audits had a limited impact, suggesting the need for better integration between the internal audit and external audit functions. In addition, the audit committee’s role in financial reporting and the authorization of financial statements were identified as key contributors to audit committee effectiveness, highlighting the importance of the audit committee’s oversight role in financial reporting processes and compliance. The study provides valuable insights for regulatory authorities and other public sector entities in Tanzania and beyond, seeking to enhance corporate governance practices and audit committee effectiveness by strengthening internal audit functions, improving board governance, and promoting better coordination between internal and external audit functions.https://doi.org/10.1186/s43093-025-00537-3Audit committeeAudit committee effectivenessCorporate governanceCorporate governance practicesRegulatory authority |
| spellingShingle | Habibu Suluo Gwahula Raphael Saganga Kapaya Impact of corporate governance practices on the effectiveness of audit committees in regulatory authorities: evidence from Tanzania Future Business Journal Audit committee Audit committee effectiveness Corporate governance Corporate governance practices Regulatory authority |
| title | Impact of corporate governance practices on the effectiveness of audit committees in regulatory authorities: evidence from Tanzania |
| title_full | Impact of corporate governance practices on the effectiveness of audit committees in regulatory authorities: evidence from Tanzania |
| title_fullStr | Impact of corporate governance practices on the effectiveness of audit committees in regulatory authorities: evidence from Tanzania |
| title_full_unstemmed | Impact of corporate governance practices on the effectiveness of audit committees in regulatory authorities: evidence from Tanzania |
| title_short | Impact of corporate governance practices on the effectiveness of audit committees in regulatory authorities: evidence from Tanzania |
| title_sort | impact of corporate governance practices on the effectiveness of audit committees in regulatory authorities evidence from tanzania |
| topic | Audit committee Audit committee effectiveness Corporate governance Corporate governance practices Regulatory authority |
| url | https://doi.org/10.1186/s43093-025-00537-3 |
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