The Ineffectiveness of the Nigerian Capital Market in Fulfilling its Expected Role in Economic Growth and Development in Nigeria

2013 ◽  
Author(s):  
Adewale Adegoke Alawiye-Adams ◽  
Dr. Afolabi Babatunde
Keyword(s):  
Economic Growth ◽  
Capital Market ◽  
Growth And Development ◽  
Economic Growth And Development

scholarly journals Impact of Capital Market Development on the Nigerian Economy: A Post-SAP Analysis

2013 ◽  
Vol 5 (1) ◽  
pp. 1-7
Author(s):  
Adeusi S.O. ◽  
Azeez B.A. .
Keyword(s):  
Economic Growth ◽  
Capital Market ◽  
Growth And Development ◽  
Least Square ◽  
Market Development ◽  
Foreign Investors ◽  
Economic Growth And Development ◽  
Ordinary Least Square ◽  
Liberalization Policy ◽  
The Impact

This paper addresses the impact of capital market development on economic growth and development since the liberalization policy in 1986 to 2010 in Nigeria. It employs Ordinary Least Square (OLS) and Johansen CO-integration estimation techniques. Gross Domestic Product (GDP) was used as measure for economic growth while the capital market development are represented with Market Capitalization (MCAP), Total Value of Transaction (TVT), Total New Issues (TNI), All-Share Index (ALSI) and Total Listing on the NSE (TLT). The result of the study shows that capital market development has not impacted positively on Nigeria economic growth and development due to the relative small size of the market despite its development as a result of the liberalization policy. Thus, it recommends that policies that would encourage domestic as well as foreign investors to participate in the market should be formulated.

The Nigerian Capital Market in an Era of Privatisation

1997 ◽  
Vol 1 (2) ◽  
pp. 45-54 ◽  
Author(s):  
Samson E. Edo
Keyword(s):  
Economic Growth ◽  
Large Volume ◽  
Capital Market ◽  
Growth And Development ◽  
Stock Exchange ◽  
Equity Market ◽  
Economic Growth And Development ◽  
The World ◽  
Emerging Capital Markets ◽  
The Capital Market

The Nigerian Capital Market achieved a significant growth during the period of privatisation (1988-1993). Through the process of privatisation, a large volume of shares was transferred from government to individual and institutional investors. The shares were offered for sale through the capital market either by placement or quotation at the Stock Exchange. As a result, the capital market expanded in terms of facilities and activities as shown by various indicators. In the same period, Nigeria entred the global equity market as one of the emerging capital markets in the world. It also became one of only four African capital markts to be so acknowledged. Despite these encouraging developments, its potentials for enhancing economic growth and development are yet to be fully exploited. In view of this, policy recomendations have been proffered to further enhance the capital market in readiness for its role in economic growth and development.

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