| 1 |
Author(s):
Fasewa Yemi Olaide, Aderinto Esther Ranmilowo.
Page No : 1-28
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Effect of Government Expenditure on Inflation in Nigeria
Abstract
This study examined the effect of government expenThis study examined the effect of government expenditure on inflation in Nigeria while disaggregating expenditure into capital and recurrent. The study also examined the response of inflation to changes in government expenditure in Nigeria. Secondary data collected from the Central Bank of Nigeria Statistical Bulletin was employed for a period of thirty-eight years (i.e. 1981-2019). The Auto Regressive Distributed Lag technique was employed. For the first model explaining government capital expenditure, short run estimates reveal that in the current period, government capital expenditure has a significantly negative relationship with inflation. For government recurrent expenditure, it was established that government recurrent expenditure has a positive relationship with inflation. The impulse response test used in analyzing the effect of an unanticipated change in government expenditure (capital and recurrent) on inflation shows that the effects of the change in both cases are temporary as they are seen to revert to the mean. The study recommends that the government should maintain a good strategic balance between capital and recurrent expenditure to prevent the economy from being consumption - based. diture on inflation in Nigeria while disaggregating expenditure into capital and recurrent. The study also examined the response of inflation to changes in government expenditure in Nigeria. Secondary data collected from the Central Bank of Nigeria Statistical Bulletin was employed for a period of thirty-eight years (i.e. 1981-2019). The Auto regressive Distributed Lag technique was employed. For the first model explaining government capital expenditure, short run estimates reveal that in the current period, government capital expenditure has a significantly negative relationship with inflation. For government recurrent expenditure, it was established that government recurrent expenditure has a positive relationship with inflation. The impulse response test used in analyzing the effect of an unanticipated change in government expenditure (capital and recurrent) on inflation shows that the effects of the change in both cases are temporary as they are seen to revert to the mean. The study recommends that government should maintain a good strategic balance between capital and recurrent expenditure to prevent the economy from being consumption-based.
| 2 |
Author(s):
Kibet Buigut, Dr. Josephat Cheboi, Dr. Ronald Bonuke.
Page No : 29-45
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Effect of CEO Compensation on Dividend Payout Policy
Abstract
Purpose - This study seeks to investigate the association between CEO compensation and dividend payout policy among listed firms in Kenya. Design/methodology/approach - The study used a sample of 40 firms listed in the Nairobi Securities Exchange(NSE) over the period 2009-2019. Data was analysed using fixed and random effect models to test the research hypothesis. Findings - The empirical results show that CEO compensation is significantly and positively associated with dividend payout policy. Practical implications – The study indicates that CEO compensation can be used as a corporate governance mechanism to lower agency conflict. Therefore, the findings offer useful information for managers and regulators in evaluating the effect of CEO compensation on shareholder return. Research limitations/implications - Due to a lack of data on equity compensation, the study cannot conclusively determine the effect of CEO compensation on dividend payout policy. Originality/value - Unlike previous studies that focused on the relationship between CEO compensation and accounting-based measures such as firm performance, this study contributes to the literature by examining the relationship between CEO compensation and dividend payout policy.
| 3 |
Author(s):
Olaoye Clement Olatunji, Opefolu Francis Olatunji, Yunus AbdulRasheed B..
Page No : 46-69
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Electronic Taxation and Revenue Generation in Ekiti State
Abstract
This study examined the effect of the electronic tax system on internally generated revenue in the Ekiti State Internal Revenue Service. Electronic tax registration, electronic filing of tax returns, and electronic tax payment were employed as proxies for an electronic tax system to attain this goal. There is a large degree of corruption practices prevalent in rising economies such as the Nigerian tax administration system, which indicates that the economy is in a disadvantaged position, as a result of these failures and obstacles in the Nigerian tax system. The final database employed in the quantitative analysis of the study was a quantitative cross-sectional survey data based on 94 valid replies retrieved from 123 competent and experienced respondents from the Ekiti State internal revenue agency. Electronic tax registration and electronic filing of tax returns affect internally generated revenue in Ekiti, according to the findings. Electronic tax payments have no statistically significant effect on the state's internally generated revenue. As a result, the study indicates that the major goal of the electronic tax system in Ekiti State Internal Revenue Service will not be met unless the consequences of electronic tax filing and electronic tax payment are fully addressed. The implication is that, while Ekiti State Internal Revenue Service has implemented electronic tax registration, the internal revenue cannot be guaranteed unless electronic filing of tax returns and electronic tax payment are fully implemented.
| 4 |
Author(s):
Temisan Eguando.
Page No : 70-80
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Technological Forensic Auditing and Financial Crime Detection in Nigeria: A Study of Selected Deposit Money Banks
Abstract
Financial crime has been one of the current challenges faced by organizations especially deposit money banks. To ameliorate this ugly development, technology-enabled forensic auditing was introduced in addition to conventional auditing. This study examined the impact of technological forensic auditing on financial crime detection in Nigeria; a study of selected deposit money banks in Nigeria. The theories reviewed in the study are the strain theory, the theory of inspired confidence, and the credibility theory. The study adopted the survey design. The population of the study is made up of the accounting staff of five selected deposit money banks in Delta state namely; Zenith, First Bank, United Bank for Africa (UBA), Fidelity Bank, and Sterling Bank with a statistic of fifty-eight (58) staff/respondents. Data for the study were generated through the distribution of well-structured questionnaires to the corresponding respondents. Data was analyzed with the multiple linear regression method. The study found that robotic process automation, textual analysis, and data analytics contribute significantly to detecting financial crime in selected deposit money banks in Nigeria. It is therefore the recommendation of this study that forensic audit firms and deposit money banks should strategically employ the usage of software applications that can permit data analytics, textual analysis, and robotic process automation to redeem the credibility image of the forensic auditors’ report.
| 5 |
Author(s):
Olusola James Oladejo (Ph.D).
Page No : 81-103
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Financial Management Practices and Profitability of Deposit Money Banks in Nigeria
Abstract
The study aims to investigate the financial management practices and profitability of deposit money banks in Nigeria. It is guided by The Stakeholder theory and The Porter’s theory. The research design employed for this study is ex-post facto. The universal population includes all DMB in Nigeria that were operational as of 2022. Secondary data were collected from the annual reports of selected commercial banks in Nigeria, which will be used as panel data for the study. The results of the study revealed significant impacts of various financial management practices on profitability. Non-performing loan showed a significant impact on profitability, as evidenced by a high F-statistic of 10.62768 and a low p-value of 0.000001. Similarly, Loan Loss Provision Ratio demonstrated a significant impact on profitability, with an F-statistic of 9.218826 and a p-value of 0.000034. Furthermore, Loan and Advance Ratio also had a notable impact on profitability, with a significant F-statistic of 11.13815 and a low p-value of 0.000005. Additionally, Capital Adequacy ratio was found to have a significant impact on profitability, supported by an F-Rstatistic of 0.976643 and a p-value of 0.009176. It was determined that financial management procedures significantly influence the profitability of Deposit Money Banks in Nigeria, proving that these practices are important in determining the financial success of the banks under investigation. the following recommendations to enhance loan loss provisioning, increase loan and advance ratio, concentrate on capital adequacy and financial stability, and strengthen credit risk management are made to improve banks' financial performance.
| 6 |
Author(s):
Rosemary Peter Mwandu.
Page No : 104-123
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Corporate Social Responsibility Investment by Public Sector Organisations: A Systematic Literature Review
Abstract
Corporate Social Responsibility (CSR) has gained prominence in business studies due to the increasing awareness of its importance to firms and stakeholders. Unlike previous CSR studies, which mostly focused on private sector organizations, this study systematically reviews CSR investment by public sector organizations. The objectives include identifying empirically tested CSR dimensions, theories mostly applied in public sector organization CSR studies, theories mostly applied, the industries in which CSR-public sector studies were conducted, and areas suggested for further studies. Findings reveal that social and legal CSR dimensions were the most single-focused dimensions in CSR-public sector studies, with limited attention to economic or environmental CSR as a single dimension. However, social and environmental dimensions rank highly in terms of combined dimensions. The findings also indicate that 78% of the reviewed empirical studies adopted stakeholder theory to explain CSR investment by public sector organizations. On industrial focuses, 54% of the reviewed studies focused on more than one industry. It was also revealed that the manufacturing industry was the most investigated, while water and construction were among the least investigated sectors. Further research was suggested in understanding the impact of CSR investment on firm performance, factors influence CSR investment, use of large sample size, use of different industries and geographical areas, and the trend on CSR investment by organizations. This study contributes to the body of knowledge by establishing research gaps for future CSR investment studies in public sector organisations.
| 7 |
Author(s):
Dr. Sunday Egbe Idaka, Dr. Gabriel Femi Goodwill, Fabian Ajijias Okwajie, Andortan Solomon Andortan.
Page No : 124-138
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Effect of Changes in Economic Variables on the Performance of Manufacturing Firms in Nigeria
Abstract
The study examines the effect of changes in economic variables on the performance of manufacturing firms in Nigeria with two research objectives that were used to formulate the two hypotheses used. The study used data gathered from selected manufacturing firms and from the Central Bank of Nigeria statistical bulletins from 2004 to 2022. The variables used as proxy variables to measure changes in the economy are the average consumer price index and average exchange rate and the proxy variable for performance was earnings per share (EPS). Based on the results obtained, it was discovered that a significant relationship exists between the average consumer price index and earnings per share, but the average exchange rate showed no significant relationship between the independent variable and dependent variable. Based on the findings, it was concluded that the relationship between the average consumer price index and EPS occurs as a result of price adjustment by manufacturers to cushion the effect of price increases in the cost of production, thereby increasing their profit margins. The insignificant effect of the average exchange rate on EPS is in line with the economic reality of Nigeria, but manufacturers shift the burden of the exchange rate to the end users in the form of price adjustment. It was recommended that for Nigeria's economy to experience the desired level of prosperity, the government must be deliberate in its decision by ensuring that local firms are encouraged by patronizing their products to reduce the level of import-dependent on foreign products.
| 8 |
Author(s):
Edward Idemudia Agboare.
Page No : 139-159
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A Theoretical Review of the Internal Control Measures in Preventing E-Banking Frauds in the Nigerian Banking Sector
Abstract
The developments in the field of information technology have changed banking business and the manner in which its customers transact significantly, bringing about more reliance on electronic banking transactions fondly referred to as “e-banking transactions”. This has also changed the kind of risk both the banks and its customers are faced with, resulting in some significant losses reported; and calling for the need for sound internal control systems that can be applied on e-banking activities to reduce losses and inherent risk. This paper is a theoretical review of the expected characteristics of the internal control system required to combat e-banking fraud in the Nigerian Banking Sector. Related concepts, theories and studies around internal control and electronic banking and fraud were reviewed. To reduce the losses attributed to e-banking frauds, the internal control system over e-banking transactions and activities should not be postmortem like the traditional banking services, but among others, be online real-time, generating alerts as transactions occur, having a combination of proactive and reactive techniques and should automatically generate audit trails. The paper recommends that the Central Bank of Nigeria (CBN) as the apex regulator of the sector should biannually review the controls put in place by the banks to check e-banking transactions for adequacy, and apply appropriate sanctions where necessary. Technology is constantly evolving, hence, the need for consistent review of processes and procedures by the banks, who should continuously sensitize its customers on safeguarding access credentials, while creating avenues for immediate reporting and account restriction in the event of suspicious activities.
| 9 |
Author(s):
Lasisi Oparinde Rasheed (Ph.D), Fijabi Kolawole Lateef.
Page No : 160-176
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Corporate Taxes and Financial Performance of Listed Information and Communication Technology Companies in Nigeria
Abstract
This paper examined the effect of corporate taxes and financial performance of listed information and communication technology companies (ICT) in Nigeria. The corporate taxes were proxied by company income tax and education tax while financial performance was proxied by profit after tax. Content analyses of the annual report of sampled companies were carried out using descriptive and inferential statistics. An ex-post facto research design was adopted for the study. A simple random sampling technique was used to select the sample. Data were obtained from annual reports and accounts of sampled ICT firms in Nigeria for a period of five years (2018-2022). Regression was used to test the hypothesis at a significance level of 5%. The findings showed that corporate taxation positively and significantly affected the financial performance of information and communication technology companies in Nigeria (p-value =0.0000; <0.05). The findings also showed that company income tax was positively and significantly related to financial performance in quoted information and communication technology companies in Nigeria. However, education tax has significant negative effect on financial performance of information and technology companies in Nigeria. The Adjusted R Square of 0.9974 showed that 0.3% is outside financial performance matrix and was recommended that the government should encourage voluntary payment of taxes with the introduction of reduced tax rates, public awareness, reduction of ambiguity in the tax law and provision of adequate infrastructural facilities which tax payer’s fund were used to provide for the society to encourage taxpayers’ compliance culture.
| 10 |
Author(s):
Akram Ibrahim, Mohamed Aymen Ben Moussa.
Page No : 177-189
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Zscore and Economic Uncertainty: Case of Tunisian Banks
Abstract
Zscore compares the buffer’s of a country’s commercial banking system ( capitalisation and return ) with the volatility of these returns . Also economic uncertainty refers to a situation in which the future economic environment is different to predict ; and there is a high degree of risk or unkowns involved . We used EPU ( Economic policy uncertainty ) as the unforseen changes that affect the economic system and that lead to changes in government policies. By appyling a model of panel statique for the sample of 11 banks in Tunisia through the period ( 2012-2021) , we found that EPU have negative effect on Zscore . But ( ROA ; Size ; TLA , CAP , TPIB , TINF) have a positive effect on Zsocre .
