Impact of Corporate Governance on Financing Decision of Listed Beverage, Food and Tobacco Companies in Sri Lanka
Corporate governance and financing decision plays a big role in the maximization of share holders’ wealth and
good corporate governance is important in increasing the market value of the firm. This study investigates the relationship
between corporate governance and financing decision of listed Beverage ,Food and Tobacco companies in Sri Lanka. Data
are obtained from the annual reports of the selected companies for the period 2011 -2015 financial years. Pooled and fixed
effect regression results indicate that firm size and block share holders are positively associated with financing decision .
Board composition, female director , and frequency of board meeting have negative impact on financing decision of the
companies. CEO duality has no impact on financing decision of the listed Beverage , Food and Tobacco companies in Sri
Keywords - Corporate governance, Financing decision, Sri Lanka.