Global Advanced Research Journal of Management and Business Studies (ISSN: 2315-5086) March 2018 Vol. 8(2), pp 016-024

Copyright © 2019 Global Advanced Research Journals   

 

Original Research Articles

Implications Of Stock Market Efficiency On Nigerian Manufacturing Sector Performance 1985 To 2017

1Dr. Ini Solomon Udom And 2Dr. Eze Onyekachi Richard

1MacroView Consulting Limited, Abuja Nigeria.

2Department of Banking & Finance, Ebonyi State University, Abakaliki.

Corresponding author Email: ezerich2014@gmail.com

Accepted 24 March 2019


Abstract 

This study sought to investigate the implications of stock market efficiency on the performance of Nigeria manufacturing sector. The study adopted the ex-post facto research design and regression analysis as methodology. Annual time series data for a 32-year period, 1985-2017, were collected from Central Bank of Nigeria Statistical Bulletin, Stock Exchange Fact Book and World Bank Handbook of Statistics for the period. Descriptive statistics and graphs were also used to complement the regression result. The result from the study found that the stock market efficiency (ASI) has a negative and significant implications on the performance of Nigerian manufacturing sector (coefficient of ASI = -0.310838; t-value = 2.801903; p-value = 0.0001 ˃ 0.05). The implication of this is that the variables (stock market efficiency, Inflation Rate, Exchange Rate and Interest Rate) are the major variables that determine how stock market efficiency affects the performance of Nigerian manufacturing sector. These variables have been used over time in Nigeria, yet the country’s manufacturing sector performance suffers from low output, high unemployment rate, and economic instability compared with other emerging economies in the World. We, therefore, recommend that since stock market efficiency variable (ASI) in this study shows negative and significant, it is therefore pertinent to recommend that the mechanism for registration and valuation of shares in the stock exchange should be improved. The prices of equities quoted on the stock market should be made to reflect as much as possible the underlying economic fundamentals of the firms. This will assist in computing a more accurate size for the stock market in Nigeria and enable the market to respond appropriately to economic developments. 
Keywords: Efficiency, ASI, Industrial Development, Performance, Growth.











 











 








Related Articles


Review
Sudhakar P, Nalla Bala Kalyan Kumar, Padmavathi A
A study on employment trends in India
Glo. Adv. Res. J. Manage. Bus. Stud. July 2012 Vol: 1(6): - [Abstract] [Full Text - PDF] (267 KB)
Original Research Articles
AA Mubi
The Nitrogen Balance of Indigeneous Yankasa Sheep fed a Basal Diet of Untreated Rice Straw Supplemented with Mineral Blocks
Glo. Adv. Res. J. Manage. Bus. Stud. June 2012 Vol: 1(4): - [Abstract] [Full Text - PDF] (109 KB)
Anyanwu SO, Offor US, Adesope OM and Ibekwe UC
Structure and growth of the gross domestic product 1960 to 2008 implications for small scale enterprises in Nigeria
Glo. Adv. Res. J. Manage. Bus. Stud. June 2013 Vol: 2(6): - [Abstract] [Full Text - PDF] (100 KB)
Ithar Kamil Al-Mayaly and Gergieo Tachieve
Using of iron sulfide and hydrogen peroxide to treat the eutrophication
Glo. Adv. Res. J. Manage. Bus. Stud. August 2013 Vol: 2(6): - [Abstract] [Full Text - PDF] (681 KB)
Review
Jean-Claude Garcia-Zamor
A Theoretical Guideline to define Transparency and Accountability in Public Organizations
Glo. Adv. Res. J. Manage. Bus. Stud. December 2012 Vol: 1(7): - [Abstract] [Full Text - PDF] (199 KB)
Original Research Article
Moises Esteban Mejia-Mejia, Elsah Arce Uribe, Judith García Rodríguez, José Figueroa Torres, Migdalia Díaz Vargas
Microalgae culture for the mosquito pre-adults feeding used as food in the aquaculture
Glo. Adv. Res. J. Manage. Bus. Stud. March 2019 Vol: 8(3): - [Abstract] [Full Text - PDF] (348 KB)

Current Issue

Viewing Options

View Full Article - PDF
Download Full Article - PDF

Search for Articles

Ini Solomon Udom on Google Scholar
Ini Solomon Udom on Pubmed
Eze Onyekachi Richard on Google Scholar
Eze Onyekachi Richard on Pubmed

Statistics

Viewed 400
Printed 53
Downloaded 366
Powered By iPortal Works