Audit Committee Attributes and Corporate Governance in State Corporations under the National Treasury in Kenya
| dc.contributor.author | Chepngetich, Rhodah | |
| dc.date.accessioned | 2026-02-24T08:26:17Z | |
| dc.date.available | 2026-02-24T08:26:17Z | |
| dc.date.issued | 2025-10 | |
| dc.description | A Research Project Submitted to the School of Business, Economics and Tourism in Partial Fulfilment of the Requirements for the Award of the Degree of Master of Business Administration (Accounting Option) of Kenyatta University, October 2025 Supervisor: 1.Salome Musau | |
| dc.description.abstract | The role of state corporations in national economies is pivotal, given their mandate to implement government policy, provide essential services, and drive socio-economic development. Despite governance frameworks such as the Mwongozo and CMA Codes, challenges persist: between 2019 and 2020, the Office of the Ombudsman recorded 3,831 administrative complaints, the Ethics and Anti-Corruption Commission reported 6,021 corruption cases, and pending bills in state corporations rose from KSh 94.4 billion in 2021 to KSh 379.8 billion in 2024. These statistics indicate weak accountability, poor financial management, and inadequate oversight, underscoring the need for effective audit committees. This study sought to bridge this gap by analyzing the effects of audit committee attributes on corporate governance among state corporations overseen by the National Treasury. By addressing methodological and contextual limitations in previous research, the study aimed to offer evidence-based insights that can inform governance reforms and strengthen accountability mechanisms in Kenya’s state-owned enterprises. The target population comprised 136 respondents from 34 public institutions under the National Treasury. Due to the relatively small population, the study employed a census approach, ensuring that all 136 respondents within these corporations participated. Data were primarily collected using a structured questionnaire. The questionnaire was tested for reliability to produce Cronbach's alpha coefficient and validity using content analysis. Quantitative data analysis involved statistical methods, including the calculation of means and standard deviations, while qualitative data was analysed thematically and descriptively. Additionally, an empirical analysis was conducted to assess the effects of audit committee attributes on the governance of state-owned enterprises. Findings were further illustrated using frequency tables. The data were subjected to heteroscedasticity, multicollinearity, and normality tests to validate the reliability of the multiple regression model. The study was granted ethical clearance by NACOSTI, alongside an authorization letter from Kenyatta University, to uphold participant confidentiality and data integrity. The analysis showed that all four audit committee attributes had significant positive effects on corporate governance. Audit committee independence enhanced objectivity and accountability; committee size contributed to workload distribution and governance coverage; diversity promoted inclusive and balanced decision-making; and expertise had the greatest impact, enabling informed oversight and risk management. The regression model explained 60.4% of the variance in corporate governance, underscoring the relevance of audit committee structure and capability in public sector governance. The study concluded that audit committee attributes are critical determinants of good governance in state corporations. Recommendations include strengthening independence through institutional safeguards, optimizing committee size, institutionalizing diversity via inclusive recruitment, and investing in continuous professional development to enhance expertise. Implementing these measures will improve governance practices, reinforce public trust, and enhance service delivery. The study also provides empirical support for Agency, Stakeholder, Legitimacy, and Upper Echelons theories, offering validated measures of audit committee attributes for future research in public sector governance | |
| dc.description.sponsorship | Kenyatta University | |
| dc.identifier.uri | https://ir-library.ku.ac.ke/handle/123456789/32555 | |
| dc.language.iso | en | |
| dc.publisher | Kenyatta University | |
| dc.title | Audit Committee Attributes and Corporate Governance in State Corporations under the National Treasury in Kenya | |
| dc.type | Thesis |