Politická ekonomie 2026, 74(1):118-141 | DOI: 10.18267/j.polek.1497

Examining the Impact of Board Gender Diversity on Firm Value: Insights from the Pre-COVID-19 Era

Bernard Mnzava ORCID...
Institute of Finance Management (IFM), Department of Accounting and Finance, Dar es Salaam, Tanzania

This study explores the impact of female board representation on firm value prior to the COVID-19 pandemic using a sample of sub-Saharan African quoted companies. Utilizing a robust dataset derived from annual reports of non-financial firms spanning 11 years, the study employs both pooled ordinary least squares (OLS) regression and the system generalized method of moments (GMM) to assess this relationship. In addition, the study conducts supplementary regression analyses with different measures of board gender diversity to validate its findings. The findings reveal a positive and statistically significant correlation between the presence of female board members and enhanced firm value, highlighting the substantial contributions of women to corporate growth in Africa. These results align with previous research, reinforcing the argument for increased gender diversity in corporate governance. The practical implications of this research are significant; it suggests that governments, policymakers and regulatory bodies should implement measures to encourage the appointment of female directors, ultimately fostering improved corporate value. This paper distinguishes itself in the academic literature as the first empirical study focused on the sub-Saharan African context, offering significant insights into the connection between gender diversity on boards and the value of the firm in a region that has traditionally been marginalized in this area. Overall, this research adds to the expanding knowledge of corporate governance by providing new insights into the crucial role of female representation in improving firm value in sub-Saharan Africa.

Keywords: Sub-Saharan Africa, female directors, firm's value, COVID-19 pandemic
JEL classification: G30, G32, G34

Received: October 17, 2024; Revised: February 2, 2025; Accepted: February 17, 2025; Prepublished online: September 8, 2025; Published: February 24, 2026  Show citation

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Mnzava, B. (2026). Examining the Impact of Board Gender Diversity on Firm Value: Insights from the Pre-COVID-19 Era. Politická ekonomie, 74(1), 118-141. doi: 10.18267/j.polek.1497
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