IIARD International Institute of Academic Research and Development

IIARD International Journal of Economics and Business Management (IJEBM )

E-ISSN 2489-0065
P-ISSN 2695-186X
VOL. 5 NO. 4 2019

---

Relationship between Selected Stock Market Variables and Economic Growth in Nigeria

Akpokerere Othuke Emmanuel (Ph.D) and Oboro Oghenero Godday

---

Abstract

The paper evaluate the relationship between selected stock market variables and economic growth in Nigeria from 1986 – 2016. The study was anchored on the supply leading hypothesis. The study adopted ex-post facto research method while ordinary least square technique was used to process the data gathered using E-view 9.0 software. The finding of the study revealed that there is a negative and insignificant relationship between variable studied and economic growth while the concluded that the economy needs to be properly streamlined and strategically positioned via adoption of global best practice that will help the capital market drive the expected growth in the nation.

keywords:

Economic Growth, Total Market New Issues and Market Turnover Ratio

---

References:

Abbas, A. O., Pei, Y. X. & Rui, Z. (2016). Impact of stock market on economic growth evidence: Dar-
es Salaam Stock Exchange – Tanzania. Journal of Finance and Accounting, 4(6), 321-327.

Abdul-Khaliq, S. (2013). The impact of stock market liquidity on economic growth in Jordan. European
Journal of Business and Management, 5(30), 154-158.

Adenuga, A. O. (2010). Stock market development indicators and economic growth in Nigeria (1990-
2009): Empirical investigations. Central Bank of Nigeria Financial and Economic Review, 5(3),
25-40.

Afolabi, A. A. (2015). Impact of the Nigerian Capital Market on the economy. European Journal of
Accounting Auditing and Finance Research, 3(2), 88-96.

Akpan, I. T. (2013). The extent of relationship between stock market capitalization and performance on
the Nigerian economy. Research Journal of Finance and Accounting, 4(19), 181-187.

Akpokerere, O. E. & Ekane, R. O. (2019). Empirical Analysis of Selected Indicators of the Nigeria
Capital Market: 1986 – 2016. International Journal of Academic Accounting, Finance &
Management Research (IJAAFMR), Vol. 3 (9), 42-55.

Akpokerere, O. E. (2018). Capital Market Performance and Economic Growth in Nigeria: 1986-2016.
Ph.D Dissertation Submitted to the Department of Banking and Finance, Faculty of Management
Sciences, Nnamdi Azikiwe University, Awka.

Alajekwu, U. D. & Achugbu, A. A. (2012). The role of stock market development on economic growth
in Nigeria: A time series analysis. African Research Review, 5(6), 213-230.

Alajekwu, U. D. & Ezeabasili, V. N. (2012). Stock market liquidity and economic growth: Evidence
from Nigeria. Economic Journal of Economics. 1(2), 11-17.
Anyanwu, J. C. (1998). Stock market development and economic growth in Nigeria. Journal of Business
Perspective, 2(1), 33-38.

Awan, G. A. & Iftekhar, U. (2015). How does stock market development influence the economic
growth? An evidence from Pakistan. International Journal of Economics, Commerce and
Management, 3(1), 1-19.

Aye G. C. (2013). Causality between financial deepening, economic growth and poverty in Nigeria.
Business & Management Review, 3 (3), 15-26.

Chizea, J. (2012). Stock market development and economic growth in Nigeria: A time series study for
the period 1980-2007. Doctoral dissertation, North Umbria University.

Dabo, Z. (2015). Impact of Nigerian Capital Market capitalization on the growth of the Nigerian
economy. Journal of Emerging Issues in Economics, Finance and Banking, 4(2), 1513-1524.

Demirgue-Kunt, A. & Levine, R. (1998). Stock market development and financial intermediaries.
Stylized facts. The World Bank Economic Review, 10(2): 241-265.

Echekoba, F. N. & Ananwude, A. C. (2016). The linkage between the depth of development in Nigerian
economy under democratic rule. Arabian Journal of Business and Management Review,2(9),52-
60.

Echekoba, F. N., Ezu, K. E. & Egbunike, C. F. (2013). The impact of capital market on the growth of
the Nigerian economy under democratic rule. Arabian Journal of Business and Management
Review, 2(9), 52-60.

Edame, G. E. & Okoro, U. (2013). The impact of capital market on economic growth in Nigeria. Journal
of Poverty, Investment and Development 1(1), 45-56.

Ewah, S. O., Esang, A. E. & Bassey, J. U. (2009). Appraisal of capital market efficiency on economic
growth in Nigeria. International Journal of Business and Management, 4(12), 219-225

Hammed, M. O., Shittu, W. O., Yusuf, H. A. & Akanbi, S. B. (2017). Impact of Nigerian Capital Market
on economic growth: A co-integration approach. International Journal of Social Science and
Economic Research, 2(4), 3034-3054.

Ihendinihu, J. U. & Onwuchekwa, J. C. (2012). Stock market performance and economic growth in
Nigeria. Journal of Emerging Trends in Economics and Management Sciences,3(6),971-977.

Jamil, T. & Shazia, F. (2013). Capital market deepening and economic growth in Bangladesh. Studia
Ubb Negotia, 3(2), 21 – 32.

Karimo, T. M. & Ogbonna, O. E. (2017). Financial deepening and economic growth nexus in Nigeria:
Supply-leading or demand-following? Journal of Economic, 5, (4), 1-18.

Levine, R. & Zervos, S. (1998). Stock markets, Banks and Economic Growth. American Economic
Review 88, 36-558.

Meshaal, J. A. (2014). An investigation of the relationship between capital market development and
economic growth: The case of Saudi Arabia. Doctoral Thesis, Victoria University, Australia.
Retrieved from vuir.vu.edu.au/25918/

Muritala, T. A. & Ogunyi, M. (2017). Does the capital market spur economic growth? Evidence from
Nigeria. Journal of Corporate Finance Research, 11(1), 90-99.

Obubu, M., Konwe, C. S., Nwabenu, D.C., Omokri P. A. & Chijioke M. (2016). Evaluation of the
contribution of Nigerian Stock Market on economic growth; Regression approach. European
Journal of Statistics and Probability 4 (5), 11 – 27.

Odetayo, T. A. & Sajuyigbe, A. S. (2012). Impact of Nigerian Capital Market on economic growth and
development. International Journal of Arts and Commerce, 1(5), 1-8.

Oke, M. O. & Adeusi, S. O. (2012). Impact of capital market reforms on economic growth: The Nigerian
experience. Australian Journal of Business and Management Research, 2(2), 20- 30.

Okodua, H. & Ewetan, O. O. (2013). Stock market performance and sustainable economic growth in
Nigeria: A bounds testing co-integration approach. Journal of Sustainable Development, 6(8),
84-92.

Okoro, A. (2012). The role of financial market as a catalyst for economic growth. Faculty of
management science 2012 conference proceedings. Nnamdi Azikiwe University, Awka.

Omoruyi, A. & Ede, U. A. (2014). Financial system development and economic growth: The Nigerian
Stock Market and bank perspective. Asian Journal of Business Management, 6(4), 155-172.

Osho, A. E. (2014). The role of stock market on Nigeria’s economic development. International Journal
of Scientific and Research Publications, 4(4), 1-7.

Osinubi, T.S.& Amaghionyeodiwe, L.A. (2003). Stock market development and long-run growth in
Nigeria. Journal of African Business, 4 (3), 103-129.

Pat, D. & James, O. (2010). An empirical analysis of the impact of the Nigerian Capital Market on her
socio-economic development. Journal of Social Sciences 2(4), 17-35.

Udoka, C. O. & Anyingang, R. A. (2014). Operational efficiency dynamics of the Nigerian Stock
Market. International Journal of Finance and Banking Studies,3(1), 173-185.

Viney, C. (2003). Financial institutions, instruments and markets. Australia: McGraw-Hill.

Yadirichukwu, E. & Chigbu, E. E. (2014). The impact of capital market on economic growth: The
Nigeria perspectives. International Journal of Development and Sustainability, 3(4), 838-864.

DOWNLOAD PDF

---

Back