Domestic Private Research Articles

Determinants of Bank Stability in Nigeria

The paper examines the determinants of bank stability in Nigeria over the 2000 to 2021 period. The analysis was conducted using the ZSCORE as the measure of bank stability in Nigeria alongside the regulatory capital ratio, cost-to-income, non-performing loans, loan-to-deposit, bank concentration, and the share of domestic private credit to GDP as the determinants of bank stability. The model was estimated using the time-series ordinary least square regression method. The results show that the regulatory capital ratio, cost-to-income, non-performing loans, loan-to-deposit, bank concentration, and the share of domestic private credit to GDP are all significant determinants of bank stability in Nigeria. More specifically, regulatory capital ratio, cost-to-income ratio, non-performing loans, and domestic private credit are negative measure of bank stability, while loan-to-deposit ratio and bank concentration are positive determinants of bank stability in Nigeria.

Endowment asset allocations: insights and strategies

Using monthly data from 1997 to 2023, we construct mean-variance optimized portfolios of common university endowment asset classes, including domestic equity, international equity, global bonds, hedge funds, private equity, real estate, and natural resources. We find substantial variation in optimal allocations to these asset classes across subperiods. Some asset classes are substantially more persistent in receiving allocations than others, while some asset classes rarely receive sizable allocations at all. Our results highlight the relevance of asset allocation in portfolio performance and may inform future decisions by institutional investors and endowment portfolio managers.

Foreign Direct Investment and Domestic Private Investment in WAEMU Countries: Crowding-in or Crowding-out?

Foreign direct investment (FDI) is a particularly attractive prospect for WAEMU countries, which are constantly integrating it into their development policies. However, studies on the relationship between FDI and private domestic investment (PDI) come to contradictory conclusions. This article focused on the effect of FDI on private domestic investment over the period 1996 to 2018. The results validated the presence of cross-country dependence. The article uses Common Correlated Effect-Mean Group (CCE-MG) as the analytical technique for this purpose. The results are consistent with the “crowding-out” hypothesis of FDI on PDI.

Economic-environmental assessment of emission tax policy in developing countries: evidence from Iran

PurposeThe present study aims at quantifying the likely impacts of an environmental tax on macroeconomic variables and pollution in Iran.Design/methodology/approachThe computable general equilibrium model, which allows the prediction of the economy-wide effects of any change in policy instruments, is applied.FindingsThe main findings reveal that gross domestic product, private consumption and income in both urban and rural areas will follow a declining trend as a result of environmental tax imposition. In a scenario with the highest level of tax, the predicted percentage change to the gross domestic product and private consumption is estimated at −21.32 and −40.96, respectively. In the same scenario, pollution emissions would decrease by 12.4–22.6% for CO2, CH4 and N2O.Originality/valueThis study uses a general equilibrium model to examine the effects of the carbon tax on environmental issues and household welfare, considering the unique conditions and regulations of Iran. While the related literature examines the CO2 tax, the current study covers more pollutants, including CO2, CH4, N2O, CO, SO2 and NOx. In addition, a distinguishing feature of the current study is that it applies a modified version of the social accounting matrix (SAM) database, which includes the heavy subsidies of energy products. Another significant feature of the current study is that it examines tax policy while tax rates are exerted endogenously (compared to previous studies).

The impact of political parties on foreign direct investment within Mexico

Today we can identify a variety of political and economic systems in the world. A free market economic system is more likely to work if it is based on a democratic political system. According to the Democracy Index 2021, Mexico went from being an imperfect democracy to a hybrid regime, with the risk of becoming an authoritarian regime. The transition from a political system of imperfect democracy to a hybrid regime represents a great risk for domestic and foreign private investment. There is a latent political risk for investors in this type of countries, which scares away foreign direct investment. This research presents an analysis of the behavior of foreign direct investment in Mexico from 2000 to 2021 by state and political party. The results from a point biserial correlation test prove the existence of a dependence between the attraction of foreign investment and the political party in government. Mexico attracted lower capital inflows since the presence of MORENA, actual political party that is in both, the federal and some state governments. Descriptive statistics show that in most of the matches there is a dependence and also a correlation, however it is prudent to study the direction of this relationship and the strength. The findings are based on an analysis of three years of government of the MORENA political party; therefore, a longer period could be considered for future research.

Impact of the COVID-19 Pandemic on Investment Capital in Thai Nguyen Province, Vietnam

The COVID-19 pandemic has had a huge impact on investment capital in Thai Nguyen, including both domestic private businesses and businesses with foreign direct investment. In an effort to overcome the impact of the COVID-19 pandemic, Thai Nguyen province has proactively grasped difficulties and problems and has plans to support and create favorable conditions for businesses in the area, including FDI enterprises and production peace of mind. The results also show that Thai Nguyen proactively grasps the difficulties and problems of investors to promptly resolve, create and strengthen the trust of investors who have been implementing investment projects in the province.

PROCESSING, ANALYSIS & ANALYTICS OF BIG DATA FOR THE INNOVATIVE MANAGEMENT

The changes that have taken place in the economy of Ukraine in recent years as a result of the consistent impact of global macroeconomic, epidemiological and military factors of the current deep crisis have actualized for organizations, enterprises and corporations the urgent need to maximize their effectiveness, the key component of which is the innovative management of their complex projects. The primary scientific and practical results presented in the article regarding the specifics of the methodology and technologies of deep intellectual analysis and analytics of Big structured and semi-structured Data in innovative project management must be taken into account during crisis reengineering of the management systems of domestic private and public organizations, enterprises and corporations. Moreover, the obtained results are relevant and applicable for not only local organizations, enterprises and corporations, but for international on emerging markets in the context of future global and regional macroeconomic and possible epidemical crisis phenomena.

The Role and Relevance of Foreign Universities in Making Indian Higher Education Internationally Empowered

In the contemporary knowledge economy, providing sufficient access to diverse and globally competitive higher education institutions for the younger generation is a critical responsibility of the state. However, given India's vast population, it is not feasible for the government alone to meet the immediate demand for higher education opportunities for all eligible individuals. While the domestic private sector can complement government initiatives in offering higher education, the presence of foreign educational institutions is vital for demonstrating esteemed educational practices in developing countries like India. The entry of foreign universities can enable domestic institutions to seek and adopt new pedagogical strategies and research practices, thereby elevating the overall quality of the higher education sector. This proposed study examines the role and relevance of foreign universities in empowering Indian higher education to achieve international standards. The study is more qualitative in nature as it reflects the public's concerns over the role and relevance of foreign universities in the country. Through a comprehensive review of relevant literature, the study aims to identify existing research gaps. The present paper is an investigation of the diverse ways in which the establishment of foreign universities here can contribute to the smooth and speedy enhancement of Indian higher education to consistently compete internationally.

Economic Impact of Health Expenditures: Panel Data Analysis for Selected Economies

It is estimated that healthcare services will increasingly strain public healthcare expenditures in the near future. Public health expenditures yield more effective outputs than household expenditures do. Due to its direct impact on human capital, public health displays a positive correlation with labor productivity, personal expenditures, and GDP indicators. In welfare economics theory, the examination of economic and social welfare focuses on the analysis of the distribution of economic resources among social actors. During the 2003-2016 timeframe in Turkey, Ukraine, Moldova, Poland, and South Korea, this research examined several health care expenditures. These included the proportion of the population spending more than 10 pct of their household consumption or income on out-of-pocket health care expenses, current health expenditure per capita, domestic general government health expenditure per capita, and domestic private health expenditure per capita. To conduct the panel data analysis, the "domestic private health expenditure per capita" data was utilized. Based on the research findings, an increase in domestic government health expenditures in certain countries results in an escalation of household health expenditures, while an increase in private sector health spending leads to a reduction in household health expenditures.

How do Financial Development and Stability Shape Human Development?

Abstract The crucial role of financial systems in sustainable development has become the center of global and national interest and development strategies, and more developed and stable financial systems are the cornerstone for development finance and achieving the sustainable development goals. This research aims to examine the impact of financial development and stability on human development firstly in a sample of 185 countries worldwide, and secondly in a sample of 21 MENA countries, over the period 1990–2019. This study adopts the Panel Data Econometrics (Fixed Effects and Random Effects Methods) and proxy for human development by exploiting the UNDP’s Human Development Index and its three subindices (Education, Income, and Life expectancy), while it adopts broad money, credit to the domestic private sector, and banking sector deposits (all as a percentage of GDP) to proxy for financial development. Moreover, it represents financial stability by the banking sector Z-score and a dummy variable representing crises. The empirical results reveal the prevailing role of development and stability in the financial systems on human development and its three subcomponents, regardless of the country’s economic development level.

Trade, industrial, and privatization policies with endogenous market structure

AbstractThis study finds that in an international mixed oligopoly at free entry equilibrium, social welfare under import tariff cum privatization is higher than output subsidy cum privatization, and the dual subsidy‐tariff policy cum privatization degenerates into a single tariff policy cum privatization. The reason is that an output subsidy or the dual subsidy‐tariff policy will incentivize domestic private firms to enter the free‐entry equilibrium. Thus, the number of domestic firms with free entry is excessive, and social welfare deteriorates. A privatization policy is pivotal in the long run and is still more effective than a single subsidy policy.

Scaling Up Private Sector Financing for Climate Change Adaptation in Zimbabwe: A Brief Literature Review

Developing countries such as Zimbabwe that are highly vulnerable to climate change, are struggling to close the funding gap for climate change adaptation largely due to constrained fiscal space, and also the inadequate climate finance flows from developed countries. This article reviews the existing literature relevant to closing the climate finance gap in Zimbabwe through scaling up funding from the private sector funding. The literature shows that current private sector flows for climate finance are far below what is required to meet the needs of the country. The paper presents literature review findings, and also identifies solutions for unlocking more domestic private sector finance for climate change adaptation. The findings of the study contribute towards informing government policy on climate change particularly with regards to the mobilization of additional finance.

Health Expenditure, Institutional Quality, and Under-Five Mortality in Sub-Saharan African Countries.

The aim of this study is to examine the relationship between health expenditure, institutional quality, and under-five mortality rates in sub-Saharan African countries. Specifically, the study seeks to explore the mediating role of institutional quality in this relationship, focusing on understanding how variations in healthcare spending and institutional frameworks impact child health outcomes. By examining these dynamics, the study aims to provide valuable insights that can inform evidence-based policy interventions to reduce under-five mortality and improve child health outcomes in the region. Utilizing data spanning the years 2000 to 2021 from 46 sub-Saharan African countries, this study employs a systems GMM model to explore the intricate relationship between health expenditure and under-five mortality rates (U5MRs), with a particular focus on the mediating role of institutional quality. The findings reveal that the quality of institutions significantly influences the impact of health expenditures on the U5MR. Strong institutional quality enhances the effectiveness of health expenditure in improving child health outcomes, particularly concerning the allocation of external health funds. Conversely, poor institutional quality amplifies the positive impact of domestic private and out-of-pocket health expenditures on the U5MR, as these serve as coping mechanisms in the absence of robust public healthcare systems. This research emphasizes the need for strategies that increase health expenditure and prioritize institutional strengthening to ensure efficient resource allocation and healthcare system management, thereby reducing under-five mortality rates. Furthermore, it underscores the importance of policies that minimize reliance on private and out-of-pocket health expenditures, which can lead to financial burdens and worsened health outcomes. Sub-Saharan African countries can make significant strides toward improving child survival and overall public health by addressing these issues.

Роль некоммерческих объединений в осуществлении государственной культурной политики применительно к отечественному предпринимательству

The article examines the peculiarities of the state cultural policy in relation to domestic private entrepreneur-ship. For their analytical assessment, a conceptual distinction of social interaction at the macro, meso and mi-cro levels is introduced. State policy in the field of entrepreneurship is implemented at the meso-level, where the processes of interaction between communities and organizations take place, as well as their interests and capabilities are manifested. At the same time, public structures act as intermediaries between the state and the microlevel, that is, entrepreneurs and individuals. It is shown that non-profit organizations perform a compensa-tory function in relation to those spheres of sociocultural life of society where the direct impact of the macro-level on the micro-level is difficult, not provided with administrative resources or powers. The author gives an idea of ideally functioning parties, movements and associations in the sociocultural sphere, the interaction of which is based on complementarity, rather than on competition and struggle. Stability of such a social mecha-nism is proposed to be ensured by the creation of a branched public-state structure that collects, processes, disseminates information about socio-cultural processes, problems and vital interests of various social groups at the meso- and microlevels.

Neophodan nivo investicija za ubrzani privredni rast - stilizovane činjenice i politike

To close the gap in economic development relative to the EU average, Serbian economy has to achieve significantly higher growth rates in comparison to other European countries over the longer period. Theoretical and empirical literature indicates that the level of investment in physical capital is one of the key determinants of the dynamics of economic growth. In this paper, based on data on investments and savings in Serbia and in 37 countries that in the previous three decades achieved an average GDP growth rate of over 5% per year (so-called fast-growing economies - FGE), we present and analyze relevant stylized facts. In the observed period, FGE had average total investments of 25.6% of GDP, of which 69% was private and 31% public investments, whereby private investments were predominantly domestic, which is associated with a high rate of gross domestic savings (of 27.4% of GDP). On the other hand, total investments in Serbia were 9.7% of GDP lower than the FGE average, which was a consequence of significantly lower public and domestic private investments, which was, among other things, a consequence of significantly lower domestic savings (by over 20% of GDP). As in the recent period there has been a noticeable increase in public investments in Serbia, in order to accelerate economic growth, it is necessary, in addition to maintaining them at a high level, to encourage a considerable increase in domestic private investments through economic measures policy and wider reforms of the general institutional environment, with the aim of having the total level of investments of over 25% of GDP over the next few decades.

Impact of Bank-specific and Macroeconomic Factors on Non-Performing Loans in the Banking Sector of Nepal

Non-performing loans (NPLs) in the banking sector serve as a crucial indicator for assessing the performance of banks, as the effective management of credit risk stands as a pivotal challenge for lending institutions. The study aimed to determine the significant determinants of bank-specific factors including bank types and macroeconomic factors that determine the magnitude of NPLs in the context of Nepal. The study has included 11 years of strongly balanced panel data of 16 commercial banks consisting of seven domestic private banks, six joint venture banks, and three government-owned banks and macroeconomic data for the period of 2011/12 to 2021/22. The study applied the Pool OLS regression model including bank-dummy variables to assess the impact of the bank-specific factors and macroeconomic factors. The results revealed that the non-performing loan is higher in government-owned banks with a high level of variability compared to domestic private banks and joint venture banks. The study concluded that capital adequacy (CAR), operating efficiency (OCR) and remittance (Remit) have a significant negative impact on NPLs whereas, credit mobilization (CDR) has a significant positive impact on NPLs. It also revealed that the presence of joint venture and domestic private sector banks significantly decreased the size of non-performing loans compared to the presence of government-owned banks in the banking industry. Moreover, ROA, the rate of inflation, and lending interest rates have a positive but insignificant effect on NPLs. Similarly, the GDP growth rate has a negative but insignificant effect on NPLs.

BLEEDING PURPLE, SEEING PINK: DOMESTIC VISIBILITY, GENDER & SOCIAL REPRODUCTION IN THE HOME STUDIOS OF TWITCH.TV

From greenscreens in the bedroom to webcams on refrigerators, household surfaces underlie the broadcast of personality on Twitch.tv, Amazon’s $15 billion platform for live video entertainment. This paper examines how homemaking and visibility are co-conceptualized in the labour of gendered and racialized game live streamers. Drawing from a virtual ethnography of Twitch creators’ domestic spaces in North America (n=12), I document the staging of household visibility in relation to Twitch’s affordances of on-demand broadcast and play. Extending feminist and social reproduction theorizations of housework, I discuss how this convergence of house- and sight-making reifies the gaming industry’s historic reliance upon unremunerated spousal support. How such marginalised Twitch streamers calibrate opacity between their broadcasts and their homes reveals the affinities between platform aggregation and domestic privatisation on local and global scales. The converging geographies of labour, leisure, and living demanded by Twitch represent more than ancillary sites where gameplay(ers) are visually recomposed as “web-ready” for live platform(ization). Rather, the management of a domestic timespace on Twitch represents a struggle for autonomy over the means of cultural production by workers across social media entertainment. This paper reframes “Bleed Purple” as more than Twitch’s company slogan, branded by emojis. Rather, it proffers Twitch as a vital case study on why social reproduction and feminist theories are integral to deepening our understanding of platform work, in and beyond the home.

Effect of Ownership Structure on Financial Performance: Evidence from Listed Airlines in Africa

Objective: This study empirically examines the impact of ownership structure on the financial performance of listed airlines in Africa. Design/Methods/Approach: The research utilized quantitative techniques to collect secondary data from listed airlines over ten years (2010-2019). Descriptive statistics and multiple regression were used for analysis. Findings: The results revealed that airlines with the majority of private domestic and private foreign ownership showed a significant positive effect on financial performance (ROA and ROE). In contrast, state ownership had an insignificant impact on airlines' financial performance. The study supports the property rights theory, emphasizing the importance of private ownership in airlines. Originality/Value: This study adds to the existing literature by providing evidence on how ownership structure influences financial performance in African airlines, contributing to aviation research. Practical/Policy Implication: The findings suggest that private and foreign investors should consider acquiring controlling airline stakes to enhance financial performance. Policymakers should aim to create flexible laws and regulations that attract domestic and foreign private investors to the aviation sector, potentially fostering improved management practices and policy developments.

Health expenditure: how much is spent on health and care worker remuneration? An analysis of 33 low- and middle-income African countries

ObjectivesTo assess the amount spent on health and care workforce (HCW) remuneration in the African countries, its importance as a proportion of country expenditure on health, and government involvement as a funding source.MethodsCalculations are based on country-produced disaggregated health accounts data from 33 low- and middle-income African countries, disaggregated wherever possible by income and subregional economic group.ResultsPer capita expenditure HCW remuneration averaged US$ 38, or 29% of country health expenditure, mainly coming from domestic public sources (three-fifths). Comparable were the contributions from domestic private sources and external aid, measured at around one-fifth each—23% and 17%, respectively. Spending on HCW remuneration was uneven across the 33 countries, spanning from US$ 3 per capita in Burundi to US$ 295 in South Africa. West African countries, particularly members of the West African Economic and Monetary Union (WAEMU), were lower spenders than countries in the Southern African Development Community (SADC), both in terms of the share of country health expenditure and in terms of government efforts/participation. By income group, HCW remuneration accounted for a quarter of country health expenditure in low-income countries, compared to a third in middle-income countries. Furthermore, an average 55% of government health expenditure is spent on HCW remuneration, across all countries. It was not possible to assess the impact of fragile and vulnerable countries, nor could we draw statistics by type of health occupation.ConclusionsThe results clearly show that the remuneration of the health and care workforce is an important part of government health spending, with half (55%) of government health spending on average devoted to it. Comparing HCW expenditure components allows for identifying stable sources, volatile sources, and their effects on HCW investments over time. Such stocktaking is important, so that countries, WHO, and other relevant agencies can inform necessary policy changes.

THE IMPACT OF FINANCIAL DEVELOPMENT AND STABILITY ON HUMAN DEVELOPMENT

The role of financial systems in sustainable development has become the center of global and national interest and development strategies, and more developed and stable financial systems are the cornerstones for development finance and for achieving the Sustainable Development Goals. This research aims at examining the impact of financial development and stability on human development in a sample of 185 countries over the period 1990–2019. This study adopts as the primary empirical methodology, the Panel Data Econometrics (Fixed Effects and Random Effects Methods), and for the robustness test, a Dynamic GMM system. To proxy for human development, it exploits the UNDP’s Human Development Index and its three sub-indices (Education, Income, and Life expectancy), while it adopts broad money, credit to the domestic private sector, and banking sector deposits (all as a percentage of GDP) to proxy for financial development. Moreover, it represents financial stability by the banking sector Z-score and a dummy variable representing crises. The empirical results reveal the prevailing role of development and stability in the financial systems on human development and its three sub-components, regardless of the country’s economic development level.