scholarly journals The convergence of financial sector in Asia

2021 ◽  
Vol 10 (6) ◽  
pp. 166-173
Author(s):  
Maria Pinita Angelia ◽  
Rudi Purwono
Keyword(s):  
Stock Market ◽  
Empirical Evidence ◽  
Financial Sector ◽  
Estimation Technique ◽  
Method Of Moment ◽  
Macroeconomic Variables ◽  
Financial Sector Development ◽  
Development Indicator ◽  
Private Credit ◽  
Generalized Method Of Moment

This study aims to identify the convergence of financial sector development and the effect of macroeconomic variables on each financial sector development indicator in Asia. The sample used consists of 24 countries in Asia during the period 2010-2018. Identification of convergence using ?-convergence absolute and conditional. Indicators are used to represent the development of the financial sector namely private credit, liquid liabilities, stock market capitalization, and stock market turnover. Empirical evidence was based on the Generalized Method of Moment (GMM) estimation technique. The results showed that there was convergence in Asia and that macroeconomic variables had a significant effect on the development of the financial sector.

scholarly journals Protectivity Versus Productivity And Economic Growth: Empirical Evidence From Selected Countries

2011 ◽  
Vol 7 (10) ◽  
Author(s):  
Hamid Shahrestani ◽  
Nahid Kalbasi Anaraki
Keyword(s):  
Economic Growth ◽  
Good Governance ◽  
Country Risk ◽  
Method Of Moment ◽  
Cross Section Data ◽  
Factor Productivity ◽  
Macroeconomic Variables ◽  
Section Data ◽  
Generalized Method Of Moment ◽  
Country Specific

This paper tries to cast light on the effects of terrorism on some macroeconomic variables at the international level. Using the Generalized Method of Moment (GMM) we investigate the effects of terrorism on such variables as GDP growth, foreign direct investment (FDI) and total factor productivity (TFP) with cross section data of 2005 for a sample of both developed and developing countries. The results suggest that terrorism has adversely and significantly affected economic growth, FDI and TFP around the world. In line with Abadie and Gardeazabal (2007) we find that once the effects of other country-specific characteristics such as country risk, good governance, and restrictions on FDI are taken into account these results are still robust.

EFFECTS OF SELECTED MACROECONOMIC VARIABLES ON DIASPORA REMITTANCES IN KENYA FOR THE PERIOD 1980 TO 2016

2020 ◽  
Vol 7 (9) ◽  
pp. 741-751
Author(s):  
PEREZ ONONO ◽  
ABBA Mohammed
Keyword(s):  
Economic Growth ◽  
Interest Rates ◽  
Financial Services ◽  
Financial Sector ◽  
Macroeconomic Policies ◽  
Macroeconomic Variables ◽  
Currency Depreciation ◽  
Financial Sector Development ◽  
Stock Market Performance ◽  
Economic Ties

This study investigated the effect of selected macroeconomic variables on diaspora remittances in Kenya. Earlier studies for Kenya on diaspora remittances have focused mainly on the importance of foreign remittances on economic growth and stock market performance with less focus on macroeconomic variables that drives the remittances. In particular, the study determined the effect of economic growth, interest rates, and openness of the economy, interest rates differential and exchange rates on diaspora remittances in Kenya for the period 1980 – 2016 based on quarterly data. The study found that currency depreciation increases diaspora remittances. Similarly, economic growth, financail sector development and openness of the economy were shown to increase diaspora remittances. Based on the findings, the study recommends the need for effective application of prudent macroeconomic policies to attract more diaspora remittances inflows. In addition, there is need to adopt policies geared towards financial sector development such as the policies on formalization of the informal financial services, leveraging on the technology for financial sector development. Lastly, establishing more economic ties beyond trade with other economies to address issues on the taxation and other charges on the remitting funds from abroad would go a long way in promoting diaspora remittances inflows.

scholarly journals An Empirical Analysis of Financial Sector Development and Savings Mobilization in Nigeria: ECM Analysis

2019 ◽  
pp. 1-11
Author(s):  
Ikubor Ofili Jude
Keyword(s):  
Stock Market ◽  
Crude Oil ◽  
Oil Prices ◽  
Financial Sector ◽  
The Other ◽  
Domestic Saving ◽  
Financial Sector Development ◽  
Crude Oil Prices ◽  
Domestic Savings ◽  
Short Run

This study employs Error Correction Model (ECM) and Co-integration analysis to study the relationship between financial sector development and savings mobilization in Nigeria 1986 to 2017. As expected from a developing country like Nigeria, a short-run positive relationship is observed between the Nigerian stock market and crude oil prices and the direction is from crude oil prices to the Nigerian stock market but not the other way round. The short run, interest rate earning has a positive and significant impact on domestic savings while the other variables have no significant impact domestic savings in Nigeria. Government should therefore consolidate on past financial sector reforms to improve domestic saving mobilization to reduce the dependence of Nigeria on foreign savings to finance domestic investment.

scholarly journals The Impact of Financial Development on Corporate Performance: Theory and Evidence

2020 ◽  
Vol 12 (1) ◽  
pp. 214
Author(s):  
Thu-Trang Thi Doan ◽  
Toan Ngoc Bui
Keyword(s):  
Stock Market ◽  
Financial Development ◽  
Essential Role ◽  
Corporate Performance ◽  
Banking System ◽  
Performance Theory ◽  
Method Of Moment ◽  
Parallel Development ◽  
Generalized Method Of Moment ◽  
The Impact

This paper investigates the impact of financial development on corporate performance. Particularly, financial development is approximated by the parallel development of the banking system and stock market, which is expected to demonstrate the multidimensional nature in financial development. Specially, we consider the influence of financial development on corporate performance by exploring the theoretical and empirical works, a novel way of approaching the problem. We analyse the data of logistics sector and financial development in Vietnam, an economy whose logistics sector is relatively limited and financial development is quite fledging, but has enormous potential. Therefore, this study is expected to identify a number of unprecedented findings. The Generalized Method of Moment (GMM) is chosen for the analysis to ensure the reliable results. We successfully find that the banking system plays an essential role in enhancing corporate performance while the stock market does not perform this role. Admittedly, this is an interesting finding which brings the novelty of this study.

scholarly journals Institutional Quality and Financial Sector Development: Empirical Evidence from Nigeria

2018 ◽  
Vol 7 (1) ◽  
pp. 1 ◽  
Author(s):  
Fisayo Fagbemi ◽  
John Oluwasegun Ajibike
Keyword(s):  
Empirical Evidence ◽  
Financial Development ◽  
Good Governance ◽  
Developing Economies ◽  
Institutional Quality ◽  
Financial Sector ◽  
African Countries ◽  
Financial Sector Development ◽  
Long Run ◽  
Short Run

In view of the indispensable role of financial sector in both emerging and developing economies, there has been a notable spotlight on the financial sector development over the years in most African countries. Nonetheless, there are only a few studies on this topical issue, particularly for Nigeria. Hence, this study examines the long – run and short – run dynamic relationship between institutional quality and financial development in Nigeria over the period of 1984 – 2015 using Auto-Regressive Distributed Lag (ARDL) bounds test approach to cointegration. Using two different indicators (Private credit and M2) of financial development, the results consistently show that institutional factors do not have significant effect on financial development in the long – run as well as in the short – run. Furthermore, the empirical evidence indicates that regulatory quality and governance system (institutions) do not necessarily contribute to financial development in a feeble institutional environment, specifically in Nigeria. Thus, our findings suggest that whilst weak institutions could increase the risk of limiting the functioning of financial system, good governance and strong institutions are the essential ingredient of financial development in Nigeria. As a consequence, policies aimed at strengthening the quality of institutions and governance should form the major policy thrust of government (policy makers). These could help improving financial sector development in Nigeria.

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