Investment Growth Research Articles

The Role of Fintech in Increasing Retail Participation in the Indian Stock Market

The rapid growth of financial technology (fintech) has brought substantial changes to retail investor activity in the Indian stock market. This study examines how fintech developments have boosted retail participation from 2017 to 2024, primarily through mobile trading platforms, robo-advisors, and digital payment solutions. Using a quantitative research method with secondary data, the study tracks the year-over-year increase in retail shareholders, noting a significant rise particularly after 2021. The findings point to factors such as the Digital India initiative, growing adoption of fintech, and evolving market conditions as key drivers that have reduced entry barriers for retail investors. The analysis establishes a connection between the advancement of fintech and improved access to the stock market, underlining fintech's significant contribution to democratizing investment opportunities. Nonetheless, ongoing issues like regulatory challenges and financial literacy gaps remain, highlighting the need for continued efforts to maximize fintech's potential in fostering sustainable growth in retail investment.

Green bonds and clean energy stocks: Safe havens against global uncertainties? A wavelet quantile-based examination

The renewable energy sector has seen rapid investment growth over the last decade, with Green Bonds (GB) and Clean Energy Stocks (CLE) emerging as critical components of sustainable finance. Using daily data from 2013 to 2023, this study investigates the diverse roles of GB and CLE as potential safe havens under Geopolitical Risks (GEO) and Economic Policy Uncertainty (ECU). Applying an advanced Wavelet Quantile Regression (WQR) approach, we assess their effectiveness across different time horizons and risk conditions. The findings reveal that GB consistently offer stronger protection against economic risks, particularly in the short to mid-term, while CLE are more effective in shielding against geopolitical risks. Over longer periods, GB maintain their safe haven status, while CLE’s protective capabilities diminish. The results also highlight that GB and CLE behave differently across quantiles, with GB showing stability across extreme market conditions, making it a more reliable hedge overall. This study offers valuable policy insights for key stakeholders. Policymakers are encouraged to integrate GB and CLE into sustainable finance strategies, investors can mitigate risk by blending these assets, and portfolio managers should adjust allocations dynamically based on evolving market conditions. The results underscore the importance of green assets as hedges in times of global uncertainty, contributing to the growing literature on sustainable finance.

Culture goes East: Mapping the shifting geographies of urban cultural capital through major cultural buildings

Culture has become a major component of policies to put cities on the global map. This article traces the shifting geographies of urban cultural capital using the lens of major cultural buildings, such as the Guggenheim Bilbao Museum and the Louvre Abu Dhabi, which cities often mobilise to compete for attention, reputation, tourists and investment. Based on a custom-built database containing 438 major cultural buildings opened worldwide between 1990 and 2019, this article finds a strong growth in the number and total cost of these buildings throughout the three decades, far exceeding global GDP growth. What is more, there is a geographical shift from the established cities of high culture in North America and Western Europe towards Asia, with a particular concentration in China and the Gulf region. The growth of investment in culture and its fast-changing urban geographies urge a more profound integration of culture in urban studies and a deeper consideration of the role of cultural capital in making global cities.

State Regulation of Investment Growth and Renewal of Fixed Assets: Applicable Tax Instruments

State Regulation of Investment Growth and Renewal of Fixed Assets: Applicable Tax Instruments

Rule of Law, Regulatory Quality and investment Growth in Nigeria: An Impact Analysis

This study focus on rule of law, regulatory quality and investment growth in Nigeria employing ordinary least square method of estimation. A time series data spanning from 1997 to 2019. The economic growth was proxied with investment growth, while other variables include rule of law, regulatory quality, consumer price index, premium lending rate, trade openness, financial deepening, investment, gross investment and gross fixed capital formation. The finding of the OLS result shows that there is significant positive relationship between rule of law, regulatory quality and economic growth. Also, the result of the ECM shows that the speed of adjustment of the investment growth in the long run would be accounted for in short run by the magnitude of 27% and 40%. In the robustness check, negative significant relationship exist between rule of law, regulatory quality, investment and gross investment. Findings from granger causality test shows that there is a unidirectional causality between rule of law and economic growth, and also a bidirectional causality between regulatory quality and economic growth. Thus, improvement in the governance and institutional framework in Nigeria is suggested as policy recommendation.

Nexus between Islamic Investment, Musyarakah Financing, Islamic Microfinance and Achieving SDGs in Indonesia

Islamic Finance Transformation through analysing the role of musyarakah financing and Islamic microfinance in enhancing Islamic investments in Indonesia has become an important focus to achieve the Sustainable Development Goals (SDGs). This study explores the role of Islamic financial instruments in facilitating investments that not only prioritise financial returns but also social and environmental outcomes. The method used is Fully Modified Ordinary Least Squares (FMOLS) to analyse time series data from 2015 to 2023. The research variables used are Islamic investment, musyarakah financing and Islamic microfinance. The results showed that musyarakah financing has a significant influence on the growth of Islamic investment, thus contributing to poverty alleviation (SDG 1) and increasing financial inclusion (SDG 8). In addition, Islamic microfinance is proven to be effective in empowering the local economy and creating jobs. These findings confirm the importance of Islamic finance integration in sustainable development strategies and offer innovative solutions to complex global challenges

Determinants of Tax Regulations Referring to ESG Principles on Company Performance in Indonesia

Purpose: This study examines ESG integration in Indonesia's tax regulations and their impact on financial performance, focusing on green investments.Method: This study uses a qualitative case study method to analyze ESG integration in Indonesia's tax regulations, focusing on policies, carbon tax effectiveness, and emissions disclosure. The research is based on corporate legitimacy and institutional theories to explore the relationship between tax regulations and sustainable practices.Findings: The study's findings reveal significant growth in green investments in Indonesia, largely driven by supportive ESG-oriented tax policies. Despite this progress, challenges such as limited corporate awareness and data availability remain barriers to fully realizing the potential of these policies. The analysis also highlights the importance of these regulations in fostering sustainable business practices, particularly in industries like palm oil that are crucial for addressing climate change.Novelty: This research uniquely examines the impact of ESG-focused tax regulations on green investments and sustainable practices in Indonesia, using corporate legitimacy and institutional theories. It fills a literature gap by exploring how tax regulations drive ESG integration in the business sector of a developing country.Implications: The study has important implications for policymakers, businesses, and stakeholders in Indonesia and similar economies. It shows that ESG-focused tax policies positively impact green investments, suggesting that refining and implementing these policies could strengthen sustainable business practices and support environmental goals. The study also emphasizes the need for greater corporate awareness and better data collection to address challenges and ensure effective ESG integration in the corporate sector.

Strategi Pemasaran Berbasis Nilai-Nilai Entrepreneurship dalam Meningkatkan Investasi di PHRI Kabupaten Bandung

The main objective of this research is to identify and apply entrepreneurial values in marketing strategies to enhance investment in the hospitality and restaurant sector in Bandung Regency. The findings indicate that entrepreneurial values such as innovation, proactivity, calculated risk-taking, creativity, commitment to quality, collaboration, networking, and adaptability are crucial for effective marketing strategies. Strategies based on these values have proven capable of attracting investor attention and improving the competitiveness of the hospitality and restaurant sector in Bandung Regency. Innovation in products and services, proactivity in marketing, and a commitment to quality are key factors in attracting investment. The implementation of marketing strategies rooted in entrepreneurial values positively impacts investment growth and helps build the reputation and credibility of the Indonesian Hotel and Restaurant Association (PHRI) in Bandung Regency in the eyes of investors. The use of digital technology and social media in marketing strategies plays an important role in reaching a broader audience and attracting investor interest, enabling real-time measurement of marketing campaign effectiveness and strategy adjustments based on collected data. Recommendations for PHRI Bandung Regency include strengthening branding and innovation, enhancing collaboration and networking, optimal use of digital technology, continuous evaluation and adjustment, and improving quality and services. By applying these recommendations, it is hoped that marketing strategies based on entrepreneurial values will continue to develop and provide a sustainable positive impact on the hospitality and restaurant sector in Bandung Regency, increase investment, and reinforce Bandung Regency's position as a premier tourist destination.

Exploring the Evolution, Impact and Growth of Investment and Trading Applications

Exploring the Evolution, Impact and Growth of Investment and Trading Applications

Does environmental regulation truly enhance corporate green environmental investment? Evidence from the supervision of independent directors in listed companies.

With the increasingly prominent environmental issues in China, the government and citizens alike have intensified their focus on corporate investments in green environmental protection. Nevertheless, as government regulations become more stringent, there is substantial debate over whether environmental regulatory policies can consistently encourage listed companies to increase green environmental investments. Simultaneously, independent board supervision plays a crucial role in promoting the compliance and sustainability of listed companies regarding environmental protection. This paper selected a sample of 246 Chinese listed companies from 2010 to 2019, and used a fixed effects model to examine the impact of environmental regulation on the environmental investment of listed companies in China. Moreover, we used a mediation effect model to analyze the role of independent director supervision in influencing the relationship between environmental regulation and companies' green environmental investment. Additionally, we discuss the heterogeneous impact of environmental regulations on corporate environmental investments. Our findings are as follows: first, during the sample period, the tightening of environmental regulations significantly reduces the growth of environmental investment among the studied firms. As government environmental regulatory policies gradually intensify, the negative impact on environmental investments by listed companies becomes increasingly evident. Second, independent directors help alleviate the adverse impacts of environmental regulations on the environmental investment levels of listed companies. This suggests that the inclusion of independent directors in board governance plays a role in assessing government environmental regulatory policies and overseeing corporate decisions related to environmental investment. Lastly, the heterogeneity analysis indicates that environmental regulation significantly negatively impacts the environmental investment of listed companies in pollution-intensive industries and those located in the western regions. Furthermore, environmental regulatory policies impose greater constraints on the environmental investments of small-sized listed companies compared to their large-sized counterparts.

Determinants of Private Investment in Ethiopia

The pillar for ensuring economic development is private investment. So that, the primary aim for this paper was to investigate key determinants of private investment in Ethiopia. The author used a quantitative research approach with an explanatory research design to realize the objective. The paper practically investigates whether Real GDP, inflation rate, real interest rate, foreign direct investment, tax rate, exchange rate, population growth rate, unemployment rate, international trade openness, education affect the growth of private investment in Ethiopia or not. The study mainly concentrated on thirty years of secondary data (i.e. from 1991 to 2020) on key variables. The data was obtained from a variety of sources including the NBE, IMF, WDA, CSA, and WB. Multiple regressions using the ARDL model with appropriate software E-views 9 was applied. The ECM is 110.6 percent that depicts the speed of adjustment from short run towards long run. The study also tests unit root (non-stationary), model stability, bounce, Johansson co integration, and diagnostic test. The main finding of the study showed that in real GDP, population growth rate, interest rate, trade openness, and unemployment rate were statistically significant at 5% level of significance in the long run and short-run and also exchange rate was a positive and statistically significant effect on private investment in short-run. And tax rate was insignificant in the short run. While FDI, Education, and inflation were statically insignificant both in short run and long run in this study. Finally, unemployment has a negative effect on private investment, the policy choice on the matter needs a cautious decision. To achieve the great short run and long run goals, it is advisable to employ integrated principle of action tools.

Investment Knowledge in the Young Generation: A Theory of Reasoned Action Perspective

This study aims to explore the investment knowledge of students from the Faculty of Economics and Business at Universitas Negeri Makassar using the Theory of Reasoned Action framework. Basic investment knowledge is crucial for prospective investors to avoid irrational investment practices, such as gambling, following trends without analysis, falling victim to fraud, and facing significant financial losses. Adequate knowledge, experience, and business instincts are essential for analyzing which assets to invest in within the capital market. Understanding the correct methods of investing is vital to minimize the risk of losses, particularly in stock market investments. While the growth of investors in Indonesia's capital market is promising, the overall interest in investing remains relatively low compared to other countries. This study underscores the importance of enhancing investment education to better prepare young investors. By increasing their financial literacy and decision-making capabilities, we can help foster a more robust investment culture and contribute to the financial well-being of the young generation.

Product network and origin of common equity factor risks

This paper extends the multisector asset pricing model based on production networks, achieving direct pricing of a firm’s equity assets at a more microscopic level within the product network. An Equilibrium-Aligned PageRank (EA-PR) centrality algorithm is proposed, and it is theoretically proven that EA-PR centrality can reflect the relative value of products and further derive the value of firms. A new equity asset pricing factor is constructed based on the EA-PR centrality of firms. The key findings can be summarized as follows: Firstly, the EA-PR centrality of firms shows a significant positive linear predictability for equity returns, and the returns associated with the EA-PR centrality factor cannot be fully explained by the Fama–French 6 (FF6) factors. Secondly, the EA-PR centrality factor demonstrates significant explanatory power for the FF6 factors and, to some extent, exhibits predictive ability for future returns of the FF6 factors. Thirdly, the product network model can effectively reflect the market competitiveness and growth potential of firms, and firms with high EA-PR centrality have stronger value capture capabilities, improving gross profit margin, cash flow, and investment growth in the future. Finally, this study empirically demonstrates the consistency between the product network model and the pricing theory of the q5 model, which incorporates the expected growth factor.

A Review of the Effect of Cleaner Energy Transition on Food Prices and Climate Change Mitigation in Sub-Saharan Africa

Background: Access to clean energy is crucial for achieving sustainable development goals, but investment in renewable energy has been unevenly distributed between developed and developing countries. Developed nations have seen significant growth in renewable energy investment since the Paris Agreement, while developing countries struggle to secure the necessary funds. This study focuses on Sub-Saharan Africa and explores the relationship between the transition to cleaner energy and its impact on food prices. Methods: By conducting a systematic literature review, the study highlights the challenges posed by investment disparities, particularly in Sub-Saharan Africa, where financial constraints and infrastructural deficits hinder progress in clean energy infrastructure. Results: The findings suggest that, without appropriate policy reforms and consistent implementation, the transition to cleaner energy in the region may contribute to rising food prices and exacerbate food insecurity. Effective integration of agricultural and energy policies is essential to ensure that the energy transition supports food security objectives. Conclusion: Governments in Sub-Saharan Africa should prioritize policy reforms that promote renewable energy adoption while considering food security. Additionally, reintroducing transparent subsidy programs can help mitigate the impact of high energy costs during the transition to cleaner energy. This review emphasizes the importance of equitable investment and comprehensive policy strategies to balance renewable energy adoption with food security and economic equity in Sub-Saharan Africa.

Regarding the finance-investment nexus in sub-Saharan Africa: an issue of too little or too much finance?

PurposeThis study investigates the finance-investment nexus in sub-Saharan Africa using data from 41 countries spanning the period from 2000 to 2022. The central question addressed is whether there is a “too little” or “too much” finance problem in the region.Design/methodology/approachThis study employs a system-generalised method of moments (GMM) approach to analyse the association between finance and private investment. Additionally, a dynamic threshold regression model is used to uncover potential nonlinearities in this relationship.FindingsInitially, the study identifies a negative correlation between increased finance and private investment. However, further analysis using the dynamic threshold regression model reveals a critical threshold level of finance. Specifically, the threshold is found to be 6.52% of domestic credit to the private sector and 23.18% using the financial development index. Below this threshold, finance negatively impacts private investment, while surpassing this threshold leads to positive growth in private investment. These findings indicate an issue of “too little” finance in the finance and private investment nexus in sub-Saharan Africa. The results are robust across different model specifications.Research limitations/implicationsThe implications of this study highlight the importance of identifying critical thresholds for financing to enhance investment expenditures in the region.Originality/valueThis study contributes to the literature by uncovering nonlinearities in the finance-investment nexus in sub-Saharan Africa. The identification of critical thresholds provides valuable insights for policymakers, emphasising the need to strengthen the financial sector in countries operating below these thresholds to promote private investment and economic growth.

Coronanomics: Implications of COVID-19 Pandemic in The Economy in Indonesia

Coronanomics is the impact of the Covid-19 pandemic on the economy. The purpose of this study is to analyze the impact of the Covid-19 pandemic on the macro economy which includes several macro indicators, namely data on economic growth, inflation rates, interest rates, consumption, and investment in Indonesia as well as government policy responses in overcoming the Covid-19 pandemic. This study uses a literature study by taking data from several literatures that support the research process. This study uses quantitative data that is described qualitatively to analyze the impact on the macro economy. Data collection techniques used by listening and analyzing data by means of data reduction, data display, and an overview about the literature to be developed in this study. The results showed that the Indonesian economy in the third quarter of 2021 increased by 3.51% (yoy), although it slowed down compared to the previous quarter's achievements, household consumption grew by 1.03% (yoy). Investment growth slowed by 3.74% (yoy), supported by construction investment. The government's consumption performance was 0.66% (yoy), in line with the reallocation of spending to accelerate the national economic recovery program, including the handling of the Covid-19 delta. The inflation rate in October 2021 was 0.93%, a decrease compared to inflation in 2020 of 1.66%. The government's policy responses that have been carried out in order to overcome the Covid-19 pandemic are divided into two, namely through the Covid-19 Handling Policy and the National Economic Recovery Policy (PC-PEN).

Artificial intelligence in healthcare and medicine: the history of key events, its significance for doctors, the level of development in different countries

The article is devoted to analysis of the stages of development and current directions of research and practical application of artificial intelligence (AI) in the field of healthcare and medicine based on scientific publications in PubMed/MEDLINE, Scopus, Web of Science, Embase, eLibrary and CyberLeninka. The dynamics of scientific publications on AI in healthcare and medicine is shown, and an analysis of the growth of investments in software development based on AI in recent years is provided. AI can achieve comparable accuracy in the diagnosis of diseases in comparison with human decisions. However, future research should focus on comparing the clinical results of diagnosis and treatment performed by doctors who make decisions based on AI with the results of clinical work by doctors who do not use AI. The importance of training specialists able to combine knowledge in the field of medicine with the skills of using AI is emphasized.

Benefits for the Greek economy from resolving bad loans and zombie firms

We examine the type and magnitude of negative externalities stemming from “zombie” firms in the Greek economy, focusing on investment, employment and productivity. For this purpose, we use a panel dataset of Greek firms broken down by size and sector of economic activity for the period 2002-2021. A descriptive analysis reveals a high positive correlation in the trends between non-performing business loans and the number of zombie companies in the Greek economy over the last twenty years. Through quantitative analysis, significant direct and indirect effects emerge from the degree of density of zombie firms at the total economy and sectoral levels. First, healthy firms outperform zombie firms in terms of investment growth, employment growth and productivity levels. Second, a high concentration of capital in zombie firms negatively affects the rate of investment growth of healthy firms in specific sectors of economic activity. Third, a high concentration of capital in zombie firms forces healthy firms to increase their overall productivity in order to survive. Fourth, a high concentration of capital in zombie firms prevents the reallocation of capital to more productive investments across firms and sectors of activity. Finally, younger and larger companies generally perform better in terms of investment and employment growth, and productivity levels. Overall, a faster resolution of zombie firms and non-performing corporate loans, both on and off bank balance sheets, allows a more efficient allocation of resources and can boost investment, employment and growth rates in the Greek economy in the medium to long term.

Prospects for Legal Regulation of Quantum Communication

The leading countries across the world have entered the race to develop quantum technologies that will enable them to ensure their continued economic prosperity. Among these technologies, a special place is occupied by quantum communication, which is designed to ensure information security in an era where a quantum computer is capable of compromising a number of cryptography algorithms. In this article, this new digital technology includes quantum key distribution and encryption methods that are cryptographically resistant to a quantum computer. The study does not consider the regulation of the quantum communication sub-technology, the so-called “quantum internet,” due to the technical limitations of the existing equipment. The authors note that their predictions about the cryptographic strength of encryption algorithms are based solely on modern knowledge about the capabilities of quantum computing and do not take into account its hidden potential, for example, in terms of cryptanalysis information systems based on a machine learning model generated by a quantum computer. Currently, the only data protection system that is not subject to quantum threats is the technology of quantum key distribution. In today’s information and digital age, information security systems are an important element of critical infrastructure. Given the importance of these technologies, different states use different methods to regulate this field. This article puts forward and substantiates the hypothesis that the implementation of a combination of regulatory legal acts could have a greater positive impact on the development of quantum communication and ensure an acceptable level of information security in the post-quantum era. The analysis showed that a significant number of states and interstate associations are conducting research in this area, relying only on investment growth. This strategy has prevented any country from achieving the competencies of the People’s Republic of China. The authors also analyzed the methods of legal support used by China, Russia, and other countries in the field of quantum communication, which made it possible to identify a model of legal regulation of quantum communication that stimulates this technology’s development.

DYNAMICS OF GROWTH, INVESTMENT AND EMPLOYMENT IN MICRO SMALL AND MEDIUM ENTERPRISES (MSMES) IN ASSAM

Micro, Small and Medium Enterprises (MSMEs) are significant contributor to the economy. This study examines the growth of MSMEs and their role in provision of employment to people in Upper Assam. The study is based on secondary data collected from various sources such as the Annual Survey of Industries, the Statistical Handbook of Assam, and reports from the Reserve Bank of India and the Ministry of Micro, Small, and Medium Enterprises. It analyses the growth of MSMEs in the State during the period 2000–01 to 2018–19 and also investigate the pattern of employment and its trend in MSMEs. The findings of the study revealed that there has been a significant growth in the number of registered MSME units in the State. The number of registered MSME units in Assam increased sharply from 14,453 in 2000-01 to 48,171 in 2018-19. The compound annual growth rate (CAGR) in number of registered MSME units during the period 2000-01 to 2018-19 was found to be 6.54 per. The found differences in growth of investment, employment trends and number of registered MSME units in seven districts of upper Assam. In most districts, employment in MSMEs has grown slowly as compared to growth in number of units. In fact, there has been decline in employment per unit. Additionally, the average investment per unit differed considerably among the districts, indicating that MSMEs in some districts have varying investment capacity and patterns. The results point to the need for focused approaches to reduce regional differences and improve employment prospects by promoting investment for reducing unemployment and achieving balanced industrial growth in Assam. KEY WORDS: MSMEs, Growth, Investment, Employment, Assam.