Managerial Ownership and Firm Value of Selected Nigeria Listed Manufacturing Companies: Does Dividend Payment Policy Really Mediate?

Shareholders play a vital role in an organization through parting with their funds which determines the continuity and survival of the organization. As a result of this, regular payment of dividends as at when due to different shareholders is a concerned of every stakeholder in an organization. Therefore, this study examined the mediating effect of dividend payment policy on the relationship between managerial ownership and firm value of listed manufacturing companies in Nigeria. This study focused on ten manufacturing firms that are listed on Nigeria Stock Exchange (NSE) from 2010 to 2019 using panel pool technique and Hausman’s test. The findings from this study established that there was a partial mediation of managerial ownership, dividend payout and leverage ratio on firm value. In addition, managerial ownership (20.8%) had an inverse and significant effect on firm value; while, dividend payout ratio and leverage ratio had a direct and significant effect on it with each contributing 15.2% and 3.8% to it respectively. On mediation, the finding discovered that dividend payout through managerial ownership indirectly contributed 33.1% to managerial ownership. The study concluded that managerial ownership and dividend payment policy partly contributed to firm value with dividend payment policy playing an indirect role through increase in managerial ownership. Therefore, recommended that organizations should endeavor to review their dividend payment policy and ensure that dividend accrue to the firms’ coffer are pay as at when due. Also, managers of listed firms are strongly advised to take more of long-term loan on intending capital projects.

Effect of Government Infrastructure Expenditure on Poverty in the East African Community

The East African Community (EAC) level of economic integration is among the most advanced Regional Economic Communities (RECs) in Africa. With advancement in integration, efforts are being made by the member countries to have collective decision making on fiscal policies with the view of addressing poverty situation among other economic factors. However, while economic theory indicates that increased government expenditure leads to reduced poverty, empirical literature pits conflicting results. The difference in opinions poses lack of predictability of public finance decision making as to whether a perceptible relationship exists between public expenditure on infrastructure and poverty. This study thus, assessed the effect of government expenditure on infrastructure and poverty in EAC. Poverty was measured by private consumption per capita. The study was anchored on the Ferroni and Kaburi resource allocation framework. Correlational research design was adopted in the study. The analysis span between 2007 and 2018. The study used data drawn from five countries, namely, Burundi, Kenya, Rwanda, Tanzania and Uganda. Panel data analysis was employed to interrogate the study topic. The Random Effects Model was used to estimate the relationship after converting the log transformed data to stationary series. The results indicated that Government expenditure on infrastructure was significant in lowering poverty (β2=0.1577; p=0.0000). Thus, the need to enhance allocation and expenditure on infrastructure to arrest poverty. The findings may be beneficial to policymakers, strategists, government and advocacy groups.

An Investigation into the Application of the Integrated Public Financial Management Reform Projects in Liberia at the Ministry of Finance and Development Planning

The study sought to investigate of the application of the integrated public financial management reform projects in Liberia at the ministry of finance and development planning 2014 – 2016. Generally, the objective of implementing Integrated Financial Management Information System (IFMIS) is to increase the effectiveness and efficiency of state financial management and facilitate the adoption of modern public expenditure practices in keeping with international standards and benchmarks. The study adopted a descriptive research in this study with a targeted population of 98. The primary data was collected using questionnaire that relates to specific objectives of the study. Secondary data involved past reports such as annual budget data, progress reports and internal audits reports since the system implementation started and had key information that will be helpful to the research study. The study used both quantitative and qualitative method of data analysis. Collected data was first coded and then quantitatively analyzed according to statistical information derived from the research questions. Secondary data were derived from desk review of annual information on IFMIS for all variables for a period of three years (2013-2015). The study found that organizational accountability systems, cash management and budgeting systems, internal control systems and financial reporting systems positively and significantly influenced the financial management in the public sector. The study recommends that managers can use this information to plan and formulate budgets; examine results against budgets and plans; manage cash balances; track the status of debts and receivables; monitor the use of fixed assets and monitor the performance of specific departments or units.

Rising External Debt Burden, Increase Financial Stability Risk; the Need for Fiscal Adjustment in Nigeria

The study examines the rising external debt burden, increased financial stability risk; the need for fiscal adjustment. Given that economic sustainability is the prime desire of every economy and considering the continuous accumulation of external borrowings. Our main focus is to investigate the fiscal vulnerability and debt sustainability position of the Nigerian economy. To find out whether the country’s present fiscal position is sustainable? Has the substantial external borrowings in the last two decades of uninterrupted democratic rule significantly supported the growth path of the Nigeria economy? If not, there is need for fiscal adjustment. Our period of investigation spans from 1999 to 2019. Data estimated using the time series based from CBN, Federal Ministry of Finance, IMF/World Bank publications. In analyzing the country’s debt burden/vulnerability, we applied the IMF debt burden indicators under the debt sustainability framework (DSF) for low income countries. Using the descriptive statistic, the study also employed the regression analysis technique to exploits the cause and effect relationship between the nation’s present debt stock, debt servicing obligation and the nominal as well the real economic growth rate. Our findings revealed the following; (i) using the percentile analysis and comparing it with the major debt sustainability bench marks under the IMF/Work Bank specifications, the country’s debt sustainability position was very negligible. The Nigerian situation shows debt sustainability position that fell below the bench marks (ii) the results of our finding also indicates a negative statistically significant relationship that exists between debt stock, servicing payment and both the nominal and real GDP. Based on our results, we concluded that the present fiscal vulnerability position of the country if not checked or curtailed through fiscal adjustment would amount to increasing the financial stability risk capable of causing deterioration in the functioning of the economy. We therefore, suggest amongst other measures that all should be aimed at improving and or enhancing monetary restrains, debt contraction restrains as well evolving and improving existing rules toward achieving fiscal responsibility and discipline.

An Examination of the Role Female Traders Play in the Liberian Economy

This study access the Investigation into the Involvement of Liberia Women in cross Border Trade at the Guinea Border with Liberia; 2014-2016.” The significance of the include: The research findings are of value to the various industries in the region that will have available information on the functions of the cross border trade. Government and policy makers. The study was carried out through a descriptive survey design. The target group for the purposes of this study was importers and exporters at border point. The study focused on female traders on the Liberia side of the border. The total population of the study is 500 registered female traders with a sample size of 70 respondents. The study used both primary and secondary data was used in this research. The study shows that 25 respondents representing 42% and all comprising of females in the study were between 30 – 39 years and another 16 respondents representing 26% and all comprising of female in the study were between 20– 29 years. The study shows that 30 respondents representing 50% in the study agreed that Liberia Females are involved in Traders at the border between Guinea and Liberia, 20 respondents representing 33% and all comprising of females in the study agreed that the involvement of Liberia Female Traders at the Liberian and Guinean has an impact on the development of trade at the Liberian and Guinean border. Base on the findings the researcher concludes that: The regional Governments have made considerable efforts in reducing the incentives to trade informally, by diminishing the costs of formal importing/ exporting; enhancing compliance levels with existing regulations; and improving trading opportunities and services for traders in the formal sector. The study recommends that: 1) Formulation of the Customs Management Act, the Customs Management Regulations outlining standard forms and fees payable across the region. 2) Simplifying and reducing documentation.

Effects of Internal Audit Function on Financial Performance in Rift Valley Bottlers Limited Eldoret, Kenya

The purpose of this study was to investigate effect of internal audit function on financial performance of Rift Valley Bottler’s Limited, Eldoret. The researcher seeks to answer the following research questions: what is the effect of internal audit function on financial performance at Rift valley bottlers?; what is the effect of risk management on financial performance of Rift valley bottler’s limited Company?; what is the effect of budgetary controls on financial performance of Rift Valley bottler’s limited company?; and what is the effect of financial accountability on financial performance of Rift Valley bottler’s limited company?. This study adopted descriptive cross-sectional research design. With a sample size of 40 from finance, human Resource and procurement departments. Census sampling technique was used to select respondents. Questionnaire was used as data collection instrument. Quantitative analysis was used in analyzing of data. Multiple regression analysis was used to show the relationship between independent and dependent variables. This study found out that budgetary control affects financial performance of Rift Valley bottler’s limited company (p=0.004). this study further asserted that financial accountability affects financial performance of Rift Valley bottler’s Limited Company (p=0.005). This study concludes internal audit function affects financial performance of Rift Valley Bottler’s Limited company. This study recommends organizations like Rift Valley Bottlers to always practice internal auditing of their creditors and this will improve on their financial performance; organizations should always conceive and adhere to the internal audit function in a positive way as it is communicated by employees and follow their contents in the day to day running of the organization activities; and training of employees in Rift Valley Bottlers as important motivational tool for motivating employees towards better performance.

ICT and its Impact on the Financial Development of the Banking System

The study examined the effect of foreign exchange crisis on the performance of manufacturing sector in Nigeria over the period of 35 years ranging from 1985 to 2019. The study proxy foreign exchange crisis by exchange rate of U.S to Nigeria, trade openness and foreign direct investment while performance of manufacturing sector was measured by manufacturing sector gross domestic product. Time series were used and sourced from central bank of Nigeria statistical bulletin for 2019. Ordinary least square (OLS) technique of regression was used to analyze the data. The R-square, T-statistics and F-statistics were used to determine the extents to which the explanatory variables affect the explained variable. The hypotheses formulated were tested at 5% level of significance using t-test. The results reveal that foreign exchange rate has a negative and significant effect on manufacturing sector GDP in Nigeria. Trade openness has a positive and significant effect on manufacturing sector performance while foreign direct investment has a positive and significant effect on manufacturing sector GDP in Nigeria. The study concluded that foreign exchange crisis plays a significant negative role in the performance of manufacturing sector in Nigeria. The study recommended that there should be pursuance of sustainable and stable exchange rate policy and to put in place, measures that will promote greater exchange rate stability.

Effects of Foreign Exchange Crisis on the Performance of Manufacturing Sector in Nigeria

The study examined the effect of foreign exchange crisis on the performance of manufacturing sector in Nigeria over the period of 35 years ranging from 1985 to 2019. The study proxy foreign exchange crisis by exchange rate of U.S to Nigeria, trade openness and foreign direct investment while performance of manufacturing sector was measured by manufacturing sector gross domestic product. Time series were used and sourced from central bank of Nigeria statistical bulletin for 2019. Ordinary least square (OLS) technique of regression was used to analyze the data. The R-square, T-statistics and F-statistics were used to determine the extents to which the explanatory variables affect the explained variable. The hypotheses formulated were tested at 5% level of significance using t-test. The results reveal that foreign exchange rate has a negative and significant effect on manufacturing sector GDP in Nigeria. Trade openness has a positive and significant effect on manufacturing sector performance while foreign direct investment has a positive and significant effect on manufacturing sector GDP in Nigeria. The study concluded that foreign exchange crisis plays a significant negative role in the performance of manufacturing sector in Nigeria. The study recommended that there should be pursuance of sustainable and stable exchange rate policy and to put in place, measures that will promote greater exchange rate stability.