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Remittances, Trade Openess and Financial Sector Development in Nigeria Yusuf Shamsuddeen Nadabo
International Journal of Applied Economics, Accounting and Management (IJAEAM) Vol. 1 No. 2 (2023): July 2023
Publisher : MultiTech Publisher

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.59890/ijaeam.v1i2.118

Abstract

The purpose of this study explores the impact of remittances on financial sector development in Nigeria data spanning from 1990 to 2021. The study used Autoregressive Distributed Lag (ARDL) and Toda Yamamoto (TY Causality) technique to examine the relationship between remittances and financial sector development. The result of the study indicates that remittances were found to have a positive significant impact on financial sector development during the period of the study real interest rate is also found to have a negative impact on financial sector development in Nigeria. Lastly, trade openness is found to have a positive statistically significant impact on financial sector development in Nigeria. The study recommends having established that remittances inhibit financial sector development, the government should employ policies that will encourage channeling remittances through a formal banking system. As well as ensuring that such remittances received are channeled to finance productive investment hence financial development. The novelty of this research lies in the fact that the study is against the few empirical studies that focused only on uncomplicated techniques in their analysis of data. Also, the study made use of the two main indicators of remittances in an economy, which are, trade openness, and real interest rate, to examine its impact on financial development in Nigeria.
The Effect of Carbon Emissions (CO2) on Financial Development, Capital Formation and Economic Growth in Nigeria Yusuf Shamsuddeen Nadabo
International Journal of Advanced Technology and Social Sciences Vol. 1 No. 2 (2023): October 2023
Publisher : MultiTech Publisher

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.59890/ijatss.v1i2.545

Abstract

This study investigates the influence of carbon emissions (CO2) on financial development, capital formation, and economic growth in Nigeria. Using the ARDL model and the Toda-Yamamoto causality test from 1991 to 2021, the study finds a positive and significant relationship between economic growth and carbon emissions in the short run. However, in the long run, this relationship becomes negative and significant. Domestic credit to the private sector has a positive and significant impact on economic growth in both the short and long run. Gross fixed capital formation has a negative and significant impact on economic growth in the short run, but a positive and significant impact in the long run. Trade openness also has a positive and significant impact on economic growth in both the short and long run.  The Toda-Yamamoto causality results reveal a one-way relationship between economic growth and CO2 emissions. These findings have important policy implications governments should prioritize sustainable development and carbon emissions reduction by investing in renewable energy, improving energy efficiency, and promoting sustainable transportation. Additionally, governments should invest in human capital