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Author
Oke Michael O. (Ekiti State University Ado-Ekiti, Nigeria), Dada Oluwabunmi (Ekiti State University Ado-Ekiti, Nigeria), Aremo Nelson O. (First Bank of Nigeria, Ltd. OBA Adesida Branch, Akure)
Title
Impact of Bond Market Development on the Growth of the Nigerian Economy
Source
Folia Oeconomica Stetinensia, 2021, vol. 21, iss. 1, s. 60-75, rys., tab., bibliogr. 29 poz.
Keyword
Rynek obligacji, Wzrost gospodarczy, Obligacje korporacyjne, Obligacje skarbowe, Rentowność obligacji
Bond market, Economic growth, Corporate bonds, Treasury bond, Bond yield
Note
JEL Classification: E44, G12, G18
summ.
Country
Nigeria
Nigeria
Abstract
Research background: The traditional function ascribed to a modern financial institution is to mobilize resources among the two units (surplus and deficit) of the economy. This can be achieved when financial institutions wake up to this responsibility and act as the pillar upon which other institutions can rely on. Purpose: This study examined the impact of bond market development on the growth of the Nigerian economy from 1986-2018. Research methodology: Data were analysed using the co-integration bounds test approach while the robustness of the estimates was also checked. Results: Government bond exhibited an insignificant positive relationship; corporate bond and value of bond traded were positive and statistically significant (prob. <0.05) while bond yield indicated a negative relationship with the growth of the Nigerian economy. Novelty: The study found that corporate bond and the value of bond traded were the major variables that increased the depth of bond market development in Nigeria. Therefore, policymakers in Nigeria should encourage the issuance of more corporate bonds to further enhance the efficiency of bond markets development.(original abstract)
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The Main Library of the Cracow University of Economics
The Library of Warsaw School of Economics
The Library of University of Economics in Katowice
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Bibliography
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ISSN
1730-4237
Language
eng
URI / DOI
http://dx.doi.org/10.2478/foli-2021-0005
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