scholarly journals Relationship between Sustainable Financial Services and Poverty Reduction in Nigeria - Evidence from Error Correction Model

2013 ◽  
Vol 2 ◽  
pp. 39-50
Author(s):  
Taiwo Adewale Muritala ◽  
Ismail O. Fasanya
Keyword(s):  
Error Correction ◽  
Financial Services ◽  
Poverty Reduction ◽  
Critical Role ◽  
Final Analysis ◽  
Error Correction Model ◽  
Financial Inclusion ◽  
Poor People ◽  
Financial Deepening ◽  
Correction Model

The inflexibility of poverty is being met with increasing impatience from governments of diverse ideologies, donors and other international agencies. Recent data compilations show that many poor and non-poor people in many developing countries face a high degree of financial exclusion and high barriers in access to finance. Therefore, financial inclusion plays a critical role in reducing poverty. Hence, this paper examines the relationship between sustainable financial services and poverty reduction in Nigeria from 1965 - 2010 using Error Correction Model (ECM). It was observed that total value prime lending rate, financial savings, credit to private sector and rate of inflation all have significant impact on the financial deepening. In the final analysis, the study concludes that financial inclusion tends to strengthen financial deepening and provide resources to the banks to expand credit delivery thereby leading to financial development. The study therefore recommends that these findings, in turn, will inform the policy makers and stakeholders to build more inclusive financial systems

Impact of microcredit program on poverty reduction among rural households in Saki East Local Government area of Oyo State, Nigeria

1970 ◽  
Vol 1 ◽  
pp. 314
Author(s):  
Abdul Majeed Yaqoob ◽  
Wasiu Akintunde Yusuf ◽  
Sulaiman Adesina Yusuf
Keyword(s):  
Local Government ◽  
Financial Services ◽  
Poverty Reduction ◽  
Rural Households ◽  
Critical Role ◽  
Local Government Area ◽  
Poor People ◽  
External Shocks ◽  
The Impact ◽  
Matching Techniques

It is widely acknowledged that access to financial services plays a critical role in helping poor people strengthen their economic potentials, increase their asset base and diminish their vulnerabilities to external shocks. However, poor people have very limited access to financial services provided by the formal financial institutions due to the procedures outlined for accessing such loans. In recent time, Microcredit has received global attention owing to its claim in alleviating poverty. This study investigates the impact of microcredit program on poverty reduction among rural households in Saki East Local Government area of Oyo State using logit model and propensity score matching techniques to prove the impact. Findings revealed a negative, non-significant impact of microcredit on poverty reduction among rural households. Therefore, it is recommended that microcredit program should be implemented along with other poverty alleviation strategies.

scholarly journals FINANCIAL INCLUSION AND DEEPENING IN NIGERIA: THE CONTRIBUTION OF JAIZ BANK

2018 ◽  
Vol 7 (2) ◽  
Author(s):  
Yaaba Baba Nmadu ◽  
Abubakar Mika’ilu
Keyword(s):  
Financial Services ◽  
Financial Stability ◽  
Poverty Reduction ◽  
Adult Population ◽  
Financial Inclusion ◽  
Rapid Expansion ◽  
Easy Access ◽  
Financial Deepening ◽  
Formal Sector ◽  
Economic Activities

The Central Bank of Nigeria in 2012, as a sign of her commitment to the 2011 Maya Declaration, developed a financial inclusion strategy for Nigeria. The aim of the strategy, amongst others, was to reduce the percentage of adult Nigerians excluded from financial services from 46.3 percent as at 2010 to 20.0 percent by 2020 with the view to enabling them to have access to financial services, engage in economic activities and contribute to the growth and development of the country. The number of Nigerians that are included in the formal sector shall then increase from 30.0 percent in 2010 to 80.0 percent by the year 2020. By this, Nigeria had committed herself to reducing the population of unbanked and under-banked adults by about 50.0 percent by the year 2020. Maya declaration recognises the criticality of inclusive financing to not only inclusive growth but also global financial stability, financial deepening and poverty reduction for about 2.5 billion unbanked adults across the globe. This study is a maiden attempt to explore the contribution of the recently established Islamic bank (Jaiz bank) in Nigeria towards the reduction of both the unbanked and under-banked adult population since its inception in 2012. The study used an exploratory approach and concludes that Jaiz bank is immensely helping the country in her quest to satisfy the Maya commitments. The study recommends, among others that special consideration is given to banks of such standings to aid rapid expansion of access to finance for Nigerians who ordinarily wouldn’t have easy access to banking facilities.=============================================================Inklusi Keuangan dan Pendalamannya di Nigeria: Kontribusi Bank Jaiz. Sebagai bagian dari komitmennya terhadap Deklarasi Maya 2011, Bank Sentral Nigeria pada tahun 2012 mengembangkan strategi inklusi keuangan untuk Nigeria. Tujuannya, antara lain, adalah untuk mengurangi persentase jumlah orang dewasa di Nigeria yang belum tersentuh jasa keuangan dari 46,3 persen pada 2010 menjadi 20,0 persen pada 2020 sehingga memungkinkan mereka memiliki akses ke layanan keuangan, berperan dalam kegiatan ekonomi dan berkontribusi pada pembangunan negara. Harapannya, jumlah orang Nigeria yang masuk dalam sektor formal akan terdongkrak dari 30,0 persen pada tahun 2010 menjadi 70,0 persen pada tahun 2020. Untuk itu, Nigeria telah berkomitmen untuk mengurangi jumlah orang yang unbanked dan under-banked sekitar 50,0 persen pada tahun 2020. Deklarasi Maya mengakui pentingnya pembiayaan inklusif yang ditujukan tidak hanya untuk pertumbuhan inklusif tetapi juga stabilitas keuangan global, pendalaman keuangan, dan pengurangan kemiskinan bagi sekitar 2,5 miliar orang yang unbankable di seluruh dunia. Penelitian ini adalah upaya perdananya untuk mengeksplorasi kontribusi bank non-bunga (Jaiz bank) yang baru didirikan di Nigeria terhadap pengurangan jumlah orang yang unbanked dan under-banked sejak didirikannya pada tahun 2012. Penelitian ini menggunakan pendekatan eksplorasi dan menyimpulkan bahwa Bank Jaiz memiliki kontribusi yang sangat besar dalam membantu Nigeria untuk memenuhi komitmennya terhadap deklarasi Maya. Kajian ini, antara lain, merekomendasikan bahwa pertimbangan khusus harus diberikan kepada bank-bank yang mempunyai peran sejenis untuk mempercepat perluasan akses keuangan bagi masyarakat Nigeria yang selama ini kesulitan dalam mengakses fasilitas perbankan.

Pengaruh Jangka Pendek Dan Jangka Panjang Variabel Makro Ekonomi Terhadap Ihsg Di Bursa Efek Indonesia Dengan Pendekatan Error Correction Model (ECM)

2019 ◽  
Vol 6 (1) ◽  
pp. 12-24
Author(s):  
Suryo Refli Ranto
Keyword(s):  
Error Correction ◽  
Error Correction Model ◽  
Correction Model

Penelitian ini bertujuan untuk menguji secara empiris pengaruh jangka pendek dan jangka panjang dari Inflasi, Jumlah Uang Berjalan, Kurs, Tingkat Bunga Bank Indonesia, Harga Minyak Dunia (WTI) dan Net Ekspor terhadap Indeks Harga Saham Gabungan (IHSG) dengan metode Error Correction Model (ECM) yang diolah dengan eviews 6.0. Selama periode pengamatan yaitu tahun 2000-2012 terjadi hubungan antara variabel makro dengan pergerakan IHSG di Bursa Efek Indonesia (BEI). Hasil uji ECM memperlihatkan Inflasi, kurs dan harga minyak dunia berpengaruh signifakan terhadap IHSG pada jangka pendek sedangkan pada jangka panjang variabel yang signifikan mempengaruhi IHSG adalah IHK, kurs, net ekspor dan harga minyak dunia.Kata kunci : IHSG, IHK, JUB, Kurs, tingkat Bunga Bank Indonesia (rSBI), Harga Minyak Dunia (WTI), Net Ekspor dan Error Correction Model (ECM) 

Corporate Taxes and Foreign Direct Investment: An Impact Analysis

2020 ◽  
Vol 5 (2) ◽  
pp. 28-43
Author(s):  
Onome Christopher Edo ◽  
Anthony Okafor ◽  
Akhigbodemhe Emmanuel Justice
Keyword(s):  
Foreign Direct Investment ◽  
Error Correction ◽  
Direct Investment ◽  
Impact Analysis ◽  
Negative Relationship ◽  
Value Added ◽  
Positive Association ◽  
Error Correction Model ◽  
Corporate Taxes ◽  
Correction Model

Objective – The purpose of this study is to investigate the effect of corporate taxes on the flow of Foreign Direct Investment (FDI) in Nigeria between 1983 and 2017. Methodology/Technique – This study adopts an ex-post facto research design. Secondary data was sourced from the World Bank Development Indicator, the Central Bank of Nigeria database, and the Federal Inland Revenue database. The research data was analyzed using the Error Correction Model (ECM). Findings – The coefficient of determination (R2) shows that approximately 77% of systematic changes in FDI are attributed to the combined effect of all of the explanatory variables used in this study. Specifically, the study concludes that Company Income Tax, Value Added Tax, and Custom and Excise Duties have a significant but negative relationship with FDI. In contrast, Tertiary Education Tax has a positive association with FDI. Further, Exchange Rate has a negative but significant relationship with FDI, Inflation had an insignificant but positive association with FDI, and GDP growth Rate and Trade Openness demonstrate a positive and significant association with FDI. Novelty – The findings of this study are distinguishable from previous studies, as it uncovers new evidence that higher Education Tax Rates influences FDI and emerging evidence on the effect of non-tax variables on FDI inflow. Type of Paper: Empirical. JEL Classification: E22, F21, H2, P33. Keywords: Corporate Taxes; Foreign Direct Investment; Error Correction Model; Nigeria; Non-Tax Variables. Reference to this paper should be made as follows: Edo, O.C; Okafor, A; Justice, A.E. 2020. Corporate Taxes and Foreign Direct Investment: An Impact Analysis, Acc. Fin. Review 5 (2): 28 – 43. https://doi.org/10.35609/afr.2020.5.2(1)

Sign in / Sign up

Export Citation Format

Share Document