scholarly journals The Exchange Rate Risk and Financial Sector Performance: Evidence from Nigeria

2020 ◽  
Vol 12 (1(J)) ◽  
pp. 1-6
Author(s):  
KOLAPO T. Funso ◽  
Naheem Abiola Lawal
Keyword(s):  
Exchange Rate ◽  
Financial Intermediation ◽  
Time Series Data ◽  
Financial Sector ◽  
Series Data ◽  
P Value ◽  
Exchange Rate Risk ◽  
Rate Risk ◽  
Sector Performance ◽  
The Government

This article looked at the connection between exchange rate risk and financial sector performance in Nigeria using time series data from 2008Q1 to 20017Q4. The study employed Autoregressive Conditional Heteroskedasticity (ARCH), and Granger Causality tests as estimation techniques. Financial intermediation index was used as the dependent variable while risk from exchange rate, risk from consumer price index and risk from interest rate were used as the independent variables. The findings from the study showed that exchange rate risk (EXR) coefficient value was -0.276230 with p-value of 0.0000, implying that EXR was negative and significant to influence FII. The risk from financial intermediation index reveals a coefficient value of -5.213590 and the p-value of 0.000 implying that when financial intermediation index increases, volatility or risk reduces which means that financial intermediation index was not a risky variable which was significant during the study period. However, the study concluded that the shock from exchange rate moves at a negative and significant direction to financial intermediation index of the economy. It is also concluded that exchange rate and financial intermediation index does not have uni or bi-directional relationships between each other. It is recommended that the Government and the Apex Bank of Nigeria are encouraged to increase the stabilization measurement for exchange rate to cushion its risk and by so doing; this could improve financial sector performance.

scholarly journals Exchange Rate Variability and Manufacturing Sector Performance in Ghana: Evidence from Cointegration Analysis

2016 ◽  
Vol 2 (1) ◽  
pp. 1 ◽  
Author(s):  
Abdallah Abdul-Mumuni
Keyword(s):  
Exchange Rate ◽  
Time Series Data ◽  
Manufacturing Sector ◽  
Cointegration Analysis ◽  
Series Data ◽  
Telecommunication System ◽  
Exchange Rate Variability ◽  
Distributed Lag ◽  
Sector Performance ◽  
The Government

<p>This study examined the effect of exchange rate variability on manufacturing sector performance in Ghana. Using time series data from the period 1986-2013 and employing the autoregressive distributed lag (ARDL) approach, the empirical results show that there exists both a short as well as long run relationship between exchange rate and manufacturing sector performance. Thus, in Ghana as the exchange rate appreciates, the manufacturing sector performance improves and as it depreciates, the sector is adversely affected.  In view of this, it is recommended that policy should be put in place to regulate the importation of goods that could be locally produced so as to improve the performance of the manufacturing sector. In addition, the government should ensure that there is regular electricity supply, good roads, water and a reliable telecommunication system so that the manufacturing sector can perform effectively and efficiently in order to achieve a considerable rate of economic growth.</p>

scholarly journals PENGARUH SUBSIDI BBM TERHADAP IMPOR MINYAK BUMI PERIODE 1980 – 2013

2017 ◽  
Vol 18 (1) ◽  
pp. 30
Author(s):  
Riwi Sumantyo ◽  
Puji Lestari
Keyword(s):  
Time Series ◽  
Exchange Rate ◽  
Time Series Data ◽  
Data Use ◽  
Series Data ◽  
Foreign Exchange Reserves ◽  
Independent Variables ◽  
Fuel Subsidies ◽  
The Exchange Rate ◽  
The Government

The study on the effect of fuel subsidies toward oil import is a controversial topicdiscussions. This study will explore the effect of fuel subsidies on oil import by addingseveral independent variables, consist of; the number of vehichles, the exchange rateand inflation. Data use time series data from 1980-2013. The tool of analyze is OrdinaryLeast Squares Method (OLS).Based on the results show that the simultaneous testexplains that the fuel subsidies, the number of vehichles, the exchange rate, and inflationhave a significant effect on oil import. However partially, the variables of fuel subsidies,the number of vehichles, and the exchange rate have a positive and significant effecton oil import. Inflation does not affect on oil import. The coefficient of determinationuses Adjusted R-square test is about 98%. The implication of this study is governmentscan increase oil production Indonesia. The government should facilitate the licensing ofinvestment and rejuvenate the old oil wells. It aims to reduce Indonesia dependence onoil import so that it can save foreign exchange reserves.

Exchange-Rate Exposure of Taiwanese Exporting Firms

2000 ◽  
Vol 03 (02) ◽  
pp. 201-233 ◽  
Author(s):  
Chaoshin Chiao ◽  
Ken Hung
Keyword(s):  
Exchange Rate ◽  
Foreign Exchange ◽  
Firm Size ◽  
Exchange Rate Risk ◽  
Time Varying ◽  
Exporting Firms ◽  
Exchange Rate Exposure ◽  
Rate Risk ◽  
The Exchange Rate ◽  
The Government

The purpose of this paper is to investigate the exchange-rate exposure of Taiwanese exporting firms. Particularly, we consider the effects of the timing of the three liberalization events through which the government carried out explicit policies to open gradually its foreign exchange and stock markets. First, we cannot corroborate that most exporting firms are individually exposed to exchange-rate risk. However, we cannot reject that the exporting firms are jointly exposed to exchange-rate risk in all sub-periods. Second, the timing of the three liberalization events greatly affects the exchange-rate exposure of Taiwanese exporting firms. Finally, the determinants of possibly time-varying exchange-rate exposure of exporting firms are exports-to-sales ratio, firm size, and the timing of the three liberalization events.

scholarly journals Determinants of Equity Share Price Movement: Evidence From the Nigerian Banking Industry (2000 – 2014)

2021 ◽  
Vol 12 (1) ◽  
pp. 319
Author(s):  
Akan David Chucks ◽  
Ighosewe Enaibre Felix ◽  
Sunny Oteteya Temile
Keyword(s):  
Exchange Rate ◽  
Interest Rate ◽  
Time Series Data ◽  
Banking Industry ◽  
Market Price ◽  
Share Price ◽  
Series Data ◽  
Price Movement ◽  
Ex Post ◽  
The Government

Profit maximization is the primary focus of investors. The banking industry is a veritable sector for investment, however, understanding the determinants of profitability is paramount as it assists investors to know where their money should go. This study, therefore, investigates the influence that Earnings per share (EPS) and Non-Financial factors namely: inflation, exchange rate, and interest rate have on share price movement. The Ex-post factor was adopted as the research design. The data on EPS was collected from the Central Bank of Nigeria (CBN), Factbook, and the financial reports of the selected banks. The data on the Interest rate, Inflation, and Exchange Rate were collected from the Bulletin of CBN. The time-series data were diagnosed using the Unit root test; they were detrended where necessary to avoid a spurious result. The data were then analyzed using multiple regression. Also, Variance inflation factors (VIF) were engaged to test for the multicollinearity of the selected variables; while a heteroskedasticity test was carried out for a result free of heteroskedasticity. The outcome from the analysis displayed a positive but insignificant relationship between EPS and the market price of shares (MPS;); The study also revealed a negative and significant relationship between Inflation share price; while Interest Rate is insignificantly and negatively influencing the share price. Finally, Exchange Rate showed a significant influence on the share price. The researcher, therefore, recommends among others the need for Nigerian listed Banks to endeavor to improve on their EPS as this will increase their share price even though it won't be significant. Inflation displayed a negative and significant effect on the share prices of the quoted Banks in Nigeria; policies that will reverse the geometric rise in the inflation presently experienced in Nigeria should be enacted by the Government. 

scholarly journals Inflation and Commercial Banks Operation in Tanzania

2020 ◽  
pp. 22-28
Author(s):  
Zuhura Mohamed Abdallah ◽  
Safia Yahya Saadat
Keyword(s):  
Interest Rates ◽  
Commercial Banks ◽  
Time Series Data ◽  
Positive Impact ◽  
Financial Sector ◽  
Bank Lending ◽  
Series Data ◽  
Monitoring And Control ◽  
Long Run ◽  
The Government

This paper addresses connection of inflation and commercial banks operation by using quarterly time series data from 2008 to 2017. The study precisely shows relationship of inflation and customer savings in the commercial banks; and bank lending to customers using Vector Error Correction Model. The study reveals that there is existence of long run relationship among customer saving and inflation; and bank lending and inflation. The study reveals positive impact of customer saving and bank lending on inflation. The government of Tanzania should increase expenditure to necessary activities so as to expand banks operations because it is a crucial sector in the financial sector. However, the government should have continuous monitoring and control of the inflation to prevent financial sector shakiness. Additionally, Commercial banks should put much control on lending by increasing interest rates and choosing borrower with good character.

scholarly journals Analysis of Factors Affecting the Number of Foreign Tourists to Indonesia

2021 ◽  
pp. 102-112
Author(s):  
Siti Riska Ulfah H ◽  
Lukytawati Anggraeni ◽  
Muhammad Firdaus
Keyword(s):  
Exchange Rate ◽  
Time Series Data ◽  
Secondary Data ◽  
Series Data ◽  
Factors Affecting ◽  
Section Data ◽  
Foreign Tourist ◽  
Tourism Sector ◽  
The Exchange Rate ◽  
The Government

Indonesia's tourism potential can be used as the main driver of the Indonesian economy. This study aims to analyze the performance of the Indonesian tourism sector and analyze the factors that influence the number of foreign tourist visits to Indonesia. The method used in this research is a descriptive qualitative analysis method and static panel model analysis. The type of data used in this study is secondary data, including annual time series data for five years, from 2010 to 2014. It also includes cross-section data from nine countries that are the main visitors to the Indonesian tourism sector, namely Singapore, Malaysia, Australia, China, Japan, South Korea, Philippines, UK, and the USA. The development and growth of the performance of the Indonesian tourism sector increased in the period 2010 to 2014. The number of foreign tourist arrivals to Indonesia is influenced by the variables of Gross Domestic Product (GDP) per capita of the country of origin, economic distance, relative prices, and security dummy which have a significant effect on the number of foreign tourist visits to Indonesia, while the exchange rate and dummy travel warning variables have no significant effect. Therefore, the government needs to maintain the stability of the exchange rate and inflation rate as well as the coordination of related parties and institutions in maintaining political, economic, social stability and increasing the promotion of Indonesian tourism to foreign countries.

scholarly journals PENGARUH FAKTOR – FAKTOR EKONOMI TERHADAP INFLASI DI INDONESIA PASCA-KRISIS KEUANGAN

2017 ◽  
Vol 21 (2) ◽  
pp. 73-84
Author(s):  
Jechlien Melinda Reawaruw
Keyword(s):  
Exchange Rate ◽  
Interest Rate ◽  
Financial Crisis ◽  
Money Supply ◽  
Time Series Data ◽  
Least Square ◽  
Series Data ◽  
Negative Effect ◽  
The Government ◽  
Positive Effect

This study aimed to identify the influenceof Interest Rate, Money Supply, and Exchange Rate to inflationin Indonesia after Financial Crisis 2008 with quantitative approach and analyzed using OLS (Ordinary Least Square). Data Methods in this research used time series data in the period 2008:1 until 2015:2. The result of this research indicate that Interest Rate, Money Supply, and Exchange Rate simultaneously effect the inflationin Indonesia after Financial Crisis 2008. Interest Rate has a positive effect 2.755885%, Money Supply has a positive effect 1.28E-06%, and Exchange Rate have a negative effect 0.000841%. Bank Indonesia as an institution that is responsible for determining the inflatin target has a very important role and coordinate with the government in implementing fiscal policy and monetary policy appopriately.

scholarly journals Fiscal Stability and Macroeconomic Environment in Nigeria: A Further Assessment

2021 ◽  
Vol 17 (2) ◽  
pp. 53-66
Author(s):  
Bashir Olayinka Kolawole
Keyword(s):  
Exchange Rate ◽  
Structural Breaks ◽  
Time Series Data ◽  
Causal Effect ◽  
Series Data ◽  
Macroeconomic Factors ◽  
Considerable Uncertainty ◽  
Short Run ◽  
The Government ◽  
Macroeconomic Environment

This paper examines the relationship between fiscal stability and macroeconomic environment in Nigeria using time series data covering the period 1981-2019. As Nigeria’s debt appears excessive amid macroeconomic imbalance, different concerns are raised about the capacity of the government to repay the debt. In this regard, several studies are conducted on the sustainability of the country’s debt. But then, as a long-run analysis, assessment of debt sustainability is prone to considerable uncertainty and large margins of error. Thus, the relevance and need for a short-run analysis which serves as the basis for assessing fiscal stability. In the process, while multiple structural breaks are revealed in the total revenue, exchange rate, and total debt series, a feedback causal-effect is affirmed between fiscal stability and interest rate. Consequently, the short-run analysis establishes negative impacts from each of debt and exchange rate, as against positive effect from revenue on fiscal stability. As such, given a mixed relationship between fiscal stability and certain macroeconomic factors, an improved revenue collection is suggested with reduction in borrowing.

scholarly journals Faktor-Faktor yang Mempengaruhi Ekspor Karet Indonesia ke Malaysia Tahun 1983-2013

2018 ◽  
Vol 5 (4) ◽  
pp. 354-361
Author(s):  
Aini Kusrini ◽  
Arini Novandalina
Keyword(s):  
Time Series ◽  
Exchange Rate ◽  
Time Series Data ◽  
Linear Regression Analysis ◽  
Least Square ◽  
Series Data ◽  
Rubber Plantation ◽  
Ordinary Least Square ◽  
Bargaining Position ◽  
The Government

Penelitian ini bertujuan untuk mendeskripsikan Faktor-faktor yang mempengaruhi ekspor karet Indonesia ke Malaysia. Data yang digunakan dalam penelitian ini adalah data sekunder. Dimana data yang diperoleh diwujudkan dalam bentuk angka dan analisis menggunakan metode statistika dan ekonometrika.  Penelitian ini menggunakan data runtut waktu (time series). Variabel dalam penelitian ini adalah luas areal lahan, produksi, dan kurs rupiah terhadap ekspor karet Indonesia ke Negara Malaysia.Data di analisis dengan metode kuantitatif. Metode analisis yang digunakan Ordinary Least Square (OLS) dengan menggunakan alat bantu sofware Eviews. Berdasarkan hasil yang diperoleh bahwa luas areal lahan,Produksi,Kurs pada analisis regresi liniear berganda berpengaruh Signifikan terhadap ekspor karet Indonesia ke Malaysia. Luas lahan berpengaruh terhadap ekspor sebesar 2.050, produksi berpengaruh terhadap ekspor sebesar 0.000368, Kurs berpengaruh terhadap ekspor sebesar 0.090. Hasil penelitian dapat diberi saran yaitu Sebaiknya pemerintah dan petani karet bekerjasama meminimalisir pengalihan lahan karet, Pemberian subsidi bibit karet kepada petani karet dan Sebaiknya para eksportir mempelajari strategi dagang internasional sehingga selalu dalam posisi tawar yang baik dalam kondisi apapun. The purpose of this study to describe the factors influence of Indonesian rubber export to Malaysia. The data used in this secondary data. Where the data is obtained be formed in the form number and analysis using statistical and econometric methods. This study use time series data (time series) the variable in this study is the wide land of area, the production exchange rate againts Indonesia rubber export to the country of Malaysia. The data were analyzed with quantitative method. The method of analysis used ordinary least square  (OLS) using eviews software tool. Based on the results obtained that the wide land of area, exchange on multiple linear regression analysis significant influence in the Indonesia rubber export to Malaysia the land of area effect in export by 2050. The production amounted to 0.000368 impact to export, exchange rate effect in the export by 0090. The results of research can be given suggestions are: The government and rubber farmer should cooperate to minimize the shift of rubber plantation area, The providing subsidies the seed of rubber to the rubber farmer and  The exports should learning International trade strategy untill it is in a good bargaining position in any condition.

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