THE EFFECT OF BOARD AND INDUSTRY GROUP EFFECTIVENESS ON COST OF DEBT OF LISTED COMPANIES ON THE STOCK EXCHANGE OF THAILAND
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Abstract
The objectives of this article are 1) to study the effect of the Board of Directors' efficiency on the cost of debt of listed companies on the Stock Exchange of Thailand 2) to study the effect of industry groups on the cost of debt of listed companies on the Stock Exchange of Thailand. Using a quantitative research model by studying secondary data of 524 companies, a total of 2,096 data from companies listed on the Stock Exchange of Thailand between 2018 - 2021, totaling 4 years from the annual report. Financial Statements, Annual Registration Statement (Form 56-1) and SETSMART. Statistics used in the research were 1) descriptive statistics consisting of minimum, maximum, mean, standard deviation and 2) inferential statistics consisting of analyzing the values. Pearson correlation coefficient and multiple regression analysis. The results showed that the efficiency of the Board of Directors consists of the size of the Board of Directors. Independence of the Board female board of directors and the absence of the chairman and chief executive officers had a significant and negative impact on the cost of debt. and also found that the efficiency of the board meetings has no significant and significant impact on the cost of debt. As for the industry group, it was found that the consumer goods industry was the only one that affected the cost of debt. It was also found that Debt to Equity Ratio Return on assets company size and the year of data collection affects the cost of debt. These results support good corporate governance guidelines for companies listed on the Stock Exchange of Thailand. If the company determines the characteristics of the Board of Directors in accordance with the principles of good corporate governance, it will be considered the efficiency of the Board. As a result, the cost of the company's debt can be reduced.
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