Economic Activities In Nigeria Research Articles

The Role of Stock Market Development on Economic Growth in OPEC Countries: Does Oil Price Movement Matter? Fresh Evidence from Nigeria

This study investigates the relationship link crude oil price and stock market development and economic growth in one of the OPEC countries with emphasis on Nigeria over the period 1981 to 2014, using the latest methodology autoregressive distributed lag approach (ARDL) to cointegration analysis. Three indicator of stock market development are constructed using principal component analysis. The revels the dominant role of rule oil price as one of the engine for economic growth in Nigeria. Using inflation and trade openness as a moderator on economic activities in Nigeria, this study found that stock market is insignificant in driving economic growth in Nigeria indicating poor financial sector performance. In general, the results highlight the dominant role crude oil price and posits the weakness of the stock market in stimulating economic growth through resource mobilization and allocation in Nigeria. Therefore for government to achieve sustainable economic development and maximize stock market performance, policy maker in oil exporting countries should monitor the movement of crude oil prices.

English

The Nigerian tax reform in the early 1990s was a fallout of market reform in the mid- 1980s, while the structural adjustment program (SAP) piloted a transition to market driven economy where emphasis is laid on market forces with minimal government intervention, hence, the introduction of Value Added Tax (VAT) in 1994. This study empirically examined the impact of VAT on the level of economic activities in Nigeria from its inception to 2014. The study uses secondary data which was analyzed using Johansen (1988) co-integration test. The quarterly data ranged from 1994 Q4 to 2014 Q4. The study found evidence of a significant positive impact of VAT on economic growth. In the same vein, other government revenues, which include all oil receipts and other receipts into the federation account other than VAT were also found to be positively related to economic growth during the study period. The study, therefore, recommends that VAT should be sustained hence; all identified administrative loopholes should be covered for VAT revenue to continue to contribute more significantly to economic growth of the country. There should also be accountability and transparency in the management of all sources of government revenue. Key words: Value added tax, economic growth, Gross Domestic Product (GDP), other government revenue, Nigeria.

The Impact of Financial Development on Economic Growth in Nigeria: An ARDL Analysis

This study empirically examines the relationship between financial intermediary development and economic growth in Nigeria over the period 1981–2011 using the auto-regressive distributed lag (ARDL) approach to co-integration analysis. The results show that the relationship between financial development and economic growth in Nigeria is not significantly different from what has been observed generally in oil-dependent economies. The relationship between financial intermediary development and economic growth in Nigeria is found to be insignificantly negative in the long-run and significantly negative in the short-run. The results highlight the dominant role of the oil sector in economic activities in Nigeria.

The Economic Implication of Fuel Subsidy Removal in Nigeria

This study examines the economic implication of fuel subsidy removal in Nigeria. It addresses the arguments for and against fuel subsidy removal in Nigeria as an economic discourse. This paper notes the growing antagonism from people towards the removal of fuel subsidy. It was discovered that the sector was characterized by gross corruption, abuse of office, defective record-keeping, insufficient supply, smuggling and inefficiency. The paper also examines various regimes of fuel price increases, subsidy payments and its effectiveness or otherwise in stimulating economic activities in Nigeria and makes recommendations on the need to build more refineries in order to make the product more available to the people at an affordable pump price. On the short run, the prices of the fuel would go up significantly but would drop when the products of the new refineries are released into the market. Also, the paper recommends that for the smooth operation of the petroleum sub sector, government should always engage the people in policies that will affect them.

Economic growth in oil-exporting countries: Do stock market and banking sector development matter? Evidence from Nigeria

AbstractThis study empirically examines the independent effects of stock market and banking sector development on economic growth in Nigeria over the period 1981–2014 using the autoregressive distributed lag (ARDL) approach to co-integration analysis. Controlling for the possible effects of crude oil price and trade openness on economic activities in Nigeria, this study found both stock market and banking sector development insignificant in influencing economic growth in Nigeria. In general, the results highlight the weakness of the Nigerian financial sector in stimulating economic growth through resource mobilisation and allocation and the dominant role of the oil sector in economic activities in Nigeria.

Oil Price Shocks and Nigeria's Economic Activity: Evidence from ARDL Co-Integration and VECM Analysis

This study examines the impact of oil price shocks and their transmission channels to selected macroeconomic variables which serve as proxies for economic activities in Nigeria using quarterly data from 1980Q1 to 2011Q4. Empirical analysis was carried out using VAR framework. Further the Impulse response function (IRF) and the variance decomposition (VDC) were carried out to trace the impact of oil shocks to the Nigerian economy. The result shows that oil price shocks have negative impact on nearly all the variables used in the analysis; furthermore the asymmetric relationship between oil price shocks and GDP was not established as the effects was found to be minimal in all the tests results. The result clearly illustrates that oil price decreases affects most of the macroeconomic indicators than increases. Specifically, oil price decrease affects trade balance, inflation, government revenue and exchange rate. The implications are that oil price decreases affects macroeconomic activity in Nigeria than increases as most of the variables except inflation did not respond to increases. Based on the findings it was recommended that a relaxation of monetary policy during an oil price fluctuation era as the government has already through the central bank adopted a inflation targeting policy in order to protect the economy from possible outcome of a full blown stagflation among others.

Foreign Private Investment and the Nigeria's Economic Growth ( 1980 - 2013 )

Despite the influx of foreign investments into sub-Saharan African economies, there seem to be no improved growth and development found in them. As a result, many scholars have been asking whether Foreign Private Investment has any good to offer African developing economies especially Nigeria. This work therefore intends to look at the impact of foreign Private Investment on the Nigeria’s economic growth from 1980 to 2013. In order to actualise this, the relationship between real GDP and foreign private investment and other selected macro economic variables such as inflation, exchange rate and interest rate were considered. From the tests conducted, there is presence of unit roots at their first difference which conformed with the Augmented Dickey Fuller (ADF) result as well. The terrace test and maximum Eigen value test on the variables identified one co integrating vector at 5% and 1% critical levels. Also, the ECM showed a long run relationship between real GDP and other variables in the model. All these suggest the activities of FPI have impacted favourably in boosting economic activities in Nigeria within the period of study. The researcher therefore, recommends that efforts and policies should be geared towards increase in foreign private investment in Nigeria.

An Evaluation of the Performances of Nigeria Capital Market before and after Banking Sector Consolidation Exercise 2001 - 2010

Capital market as a vehicle for channeling investment opportunities played a vital role in achieving greater economic activities in Nigeria, its major role is identifying alternative sourcing to where capital is lagging. The Nigeria Capital market met the demand of some Nigeria banks by issuing fresh funds during consolidation exercises to meet the minimum requirement of N25 billion capital base as set by the Central Bank of Nigeria, without endangering themselves into mergers or acquisitions. The performance of the market in the economy prior to and after consolidation is a matter of concern especially to share holders who are always losing their confidence on the operations of the market. The objective of the study is to determine the level of difference in terms of performance of the market before and after consolidation. In trying to achieve this objective, secondary data was employed and T-test was used to determine the level of the mean difference between the two periods at 95% confidence level. The study found that despite the capital market performed well during post consolidation, yet investor’s confidence are at stake. The study recommended that the Nigerian capital market should regulates its activities and employ more strict measures that will ensure investors

Financial Reform and Economic Development in China. James Laurenceson , Joseph C. H. Chai

Previous articleNext article No AccessReviewsFinancial Reform and Economic Development in China. James Laurenceson , Joseph C. H. ChaiGuonan MaGuonan Ma Search for more articles by this author PDFPDF PLUS Add to favoritesDownload CitationTrack CitationsPermissionsReprints Share onFacebookTwitterLinkedInRedditEmail SectionsMoreDetailsFiguresReferencesCited by The China Journal Volume 51Jan., 2004 Published on behalf of the Australian Centre on China in the World at the Australian National University Article DOIhttps://doi.org/10.2307/3182162 Views: 4Total views on this site Citations: 1Citations are reported from Crossref Copyright 2004 The China JournalPDF download Crossref reports the following articles citing this article:Funmilayo Gift Adeshola, Yunana Ishemu Zumba Renewable Energy Consumption, Oil Price and the Level of Economic Activities in Nigeria: A Symmetric Autoregressive Distributed Lag Approach, International Journal of Ambient Energy (Apr 2022): 1–28.https://doi.org/10.1080/01430750.2022.2068061