Department of Banking and Finance

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Credit Risk Management: Implications on Bank Performance and Lending Growth
(Saudi J. Bus. Manag. Stud.; Vol-2, Iss-5B, 2017-05) Taiwo J. N.; Ucheaga E G.; Achugamonu Bede U.; Adetiloye K.; Okoye Lawrence U.; Agwu M. E.
This study is an empirical investigation into the quantitative effect of credit risk management on the performance of Nigeria’s Deposit Money Banks (DMBs) and Bank lending growth over the period of 17 years (1998- 2014). Secondary data for empirical analysis was obtained from CBN Statistical bulletin 2014 and World Bank (WDI) 2015. The study employed multiple linear regression model to analyze the time series data. The result showed that sound credit management strategies can boost investors and savers confidence in banks and lead to a growth in funds for loans and advances which leads to increased bank profitability.. The findings revealed that credit risk management has an insignificant impact on the growth of total loans and advances by Nigerian Deposit money banks. The study therefore recommends that DMBs in Nigeria should strictly adhere to their credit appraisal policies which ensures that only credit worthy borrowers have access to loanable funds. Banks are to ensure that funds are allocated to borrowers with decent to high credit ratings.
FISCAL FEDERALISM: PANACEA TO CHALLENGES OF ACCOUNTABILITY AND DEVELOPMENT IN NIGERIA
(Covenant-International Conference on African Development Issues (C-ICADI), 2018-11) Ewetan, Olabanji O.; Osabohien, Romanus; Matthew, Oluwatoyin A.; Babajide, Abiola
Fiscal federalism is a key principle of federal system of government instituted to address the critical challenges of accountability and development. This paper examines the extent to which fiscal federalism had mitigated the challenges of accountability and development in Nigeria, using historical data, for the period 1981-2016. Empirical evidence from the two models estimated using the bounds testing co-integration procedure also known as autoregressive distributed lag estimation procedure reveals that fiscal federalism promotes accountability and economic development in Nigeria. The finding of this paper also suggests that for maximum impact on longrun economic development and promotion of public sector accountability in Nigeria, government should ensure the simultaneous decentralisation of expenditure and revenue powers or responsibilities to sub-national governments ceteris paribus
Liquidity Management on The Performance of Listed Insurance Companies in Nigeria*
(Communications of International Proceedings (IBIMA Publishing), 2022) Oluwatobi Fasheyitan David; Ikpefan Ochei Ailemen; Adegboye Alex
A business's viability and success is largely influenced by its liquidity management style and control. This is because either inadequate or excess liquidity may impair the smooth operation of the business. This apparent problem has sparked considerable interest in issues of the management of liquidity in the context of significant financial outlays. However, diagnosis has been scarce in the insurance industry. Thus, the article's objective is to investigate how liquidity impacts the entire performance that results in financial efficiency. The research is based on a sample of ten insurance companies that were publicly traded on the Nigerian Stock Exchange from 2013 to 2019. Using a random effect panel regression model, this research discovered that liquidity management had a strong negative correlation with financial performance metrics in Nigeria's insurance industry. However, just a single positive coefficient was observed with current ratio affects performance in relation to ROA, while ROE was automatically insignificant when the same variables were used. Additionally, what set this investigation apart was the inclusion of economic factors that had no impact on the research. The study concludes, among other things, that given the volatility or risk level connected with insurance companies' services, it is critical for them to constantly invest in accessible assets regardless of the associated cost of payment or in meeting their commitments.
Knowledge, Attitude, and Perception of Health and Non-Healthcare Workers Towards COVID-19 Vaccination: Machine Learning Approach
(2022) Adesina, Tolulope
There have been concerns globally as to whether taking COVID-19 vaccination is harmful or not. In this study, we conducted an online survey to measure the knowledge and attitude of people, first about COVID-19, and second about COVID-19 vaccination—various analyses such as descriptive statistics, logistic regression, and support vector regression with k-fold cross-validation. The support vector machine and tuned support vector machine suggest a better fit based on cross-validation error. The results show that immigration requirements significantly explain why an individual would accept the COVID-19 vaccine. This study suggests that people in authority should look into people's concerns regarding taking the COVID-19 vaccine and address them accordingly. The study aims to draw the attention of the people to the concern that surrounds taking COVID-19 vaccination and explored various statistical techniques to draw inference.
Renewable Energy Financing and Sustainable Industrial Development in Nigeria
(International Journal of Energy Economics a nd Policy 12(4), 2022) Asemota, Franklin Famous; Olokoyo, Felicia O.
Due to the inability of renewable and non-renewable sources of energy to meet the ever-increasing industrial energy need in Nigeria, there is therefore need to explore various financing option available to execute renewable energy project that will contribute to the energy basket which will sustainably impact industrial development in Nigeria. Obtaining secondary data from World development indicator from 1980 to 2021, the study utilized the auto regressive distributed lag method to estimate the long run impact of renewable energy financing and sustainable industrial development in Nigeria. The findings reveal that the use of external debt for financing renewable energy as well the use of energy from Combustible waste source and alternate nuclear source significantly and positively determines the development of the industrial sector in Nigeria. While the use of taxation and donation to fund renewable energy as well as the use of energy source from hydroelectric were not contributing significantly to sustainable industrial development in Nigeria. The study further recommends that relevant framework that will make investment in renewable energy as well as the utilization of renewable energy to be attractive to various stakeholders in Nigeria should be established. The underlying downside risk in renewable energy utilization and financing must be address so as to mobilize sufficient private sector investment needed to drive sustainable industrial development in Nigeria.
TAX REFORMS, DIGITALIZATION AND GOVERNMENT REVENUE IN NIGERIA
(Asian Economic and Financial Review, Vol. 12, No. 9, 2022) Ajetunmobi, Opeyemi; Ojeka, Stephen; Fakile, Samuel; Olokoyo, Felicia; Eluyela, Damilola
In Nigeria, tax income collection has become a crucial policy goal for the government. The influence of tax reforms and digitalization on government income in Nigeria is therefore investigated. The study focuses on evaluating the distributional outcomes of tax revenue and digitalization on both federal and state government revenues. An ex post facto research design was adopted in the study and both descriptive and inferential analysis of the hypothesized relationships was performed. The relationships are analyzed using secondary data from 1996 to 2020 and a dynamic framework based on the autoregressive distributed lag (ARDL) approach to cointegration. The study confirmed that company income tax reforms improved federal government revenues but inhibited state government revenues (SGR) in Nigeria. It is therefore recommended that the conduct of fiscal reforms in Nigeria should evolve to become more of a bottom–top approach where all tiers of government are included.
Central Bank Autonomy and Stock Market Index in Nigeria: An ARDL and TYDL Granger Causality Approach
(Sage, 2022) Olurin, Enitan Olurotimi; Olokoyo, Felicia O.; Adetiloye, Kehinde A.
Following the trend of granting autonomy to monetary authorities around the world beginning from the mid-1900s, the Central Bank of Nigeria had its share of gradual autonomy from 1991 culminating in the 2007 legislation. This study investigated the effect of central bank autonomy (CBA) on the stock market index (SMI) in Nigeria with data on market index, foreign direct investment (FDI), gross domestic product per capita, inflation rate, terms of trade, trade openness and effective central bank autonomy index from 1985 to 2018. The study adopted the autoregressive distributed lag and Toda–Yamamoto and Dolado–Lutkepohl approach to Granger causal ity. The study finds that there is no long-run relationship between the variables estimated, though short-run relationships exist. CBA has a statistically negative impact on the SMI, while FDI has a positive significant relationship with the SMI only in the short run. The only significant causality runs from FDI to SMI. The study, therefore, recommends that the Central Bank of Nigeria should have a higher level of instrument autonomy and should endeavour to come out with monetary policies that encourage diversification of the economy and engender growth in the capital market.
Determinants of International Reserves Among Organisation of Petroleum Exporting Countries (OPEC)
(Comparative Economic Research. Central and Eastern Europe Volume 25, Number 3, 2022) Bada, Oladejo Tokunbo; Adetiloye, Kehinde Adekunle; Olokoyo, Felicia O.; Ukporhe, Grace
Member countries of the Organisation of Petroleum Exporting Countries (OPEC) are always in the news regarding the prices and supply of crude oil to the international market. One of the economic reasons for this is liquidity and the desire to accumulate international re serves by the respective countries. This paper examined the determinants of international reserves among the cartel against the backdrop of the motives for keeping reserves. With data from 2005 to 2018, the adopted variables that were tested with the system of gen eralised methods of moments (Sy‑GMM) are inflation, exchange rates, oil prices, crude oil dependence, economic crises and others. The results and outputs show that inflation was negatively impactful externally and internally, while FDI inflows recorded negative signifi cance. Economic crises and economic openness were positively significant, while oil prices and exchange rates were not significant determinants of international reserves accumula tion. The paper recommends the maximisation of opportunities available by members during economic crises to accumulate reserves that will enable them to diversify from depend ence on crude oil exports to include other products and a higher level of openness to open the economy up for competition to make the economies stronger.
Determinants of International Reserves Among Organisation of Petroleum Exporting Countries (OPEC)
(Comparative Economic Research. Central and Eastern Europe Volume 25, Number 3,, 2022) Bada, Oladejo Tokunbo; Adetiloye, Kehinde Adekunle; Olokoyo, Felicia Omowunmi; Ukporhe, Grace
Member countries of the Organisation of Petroleum Exporting Countries (OPEC) are always in the news regarding the prices and supply of crude oil to the international market. One of the economic reasons for this is liquidity and the desire to accumulate international reserves by the respective countries. This paper examined the determinants of international reserves among the cartel against the backdrop of the motives for keeping reserves. With data from 2005 to 2018, the adopted variables that were tested with the system of generalised methods of moments (Sy‑GMM) are inflation, exchange rates, oil prices, crude oil dependence, economic crises and others. The results and outputs show that inflation was negatively impactful externally and internally, while FDI inflows recorded negative significance. Economic crises and economic openness were positively significant, while oil prices and exchange rates were not significant determinants of international reserves accumulation. The paper recommends the maximisation of opportunities available by members during economic crises to accumulate reserves that will enable them to diversify from dependence on crude oil exports to include other products and a higher level of openness to open the economy up for competition to make the economies stronger.
EDUCATIONAL FACTORS AS DETERMINANT OF INTERNATIONAL RESERVES ACCUMULATION IN ORGANISATION OF PETROLEUM EXPORTING COUNTRIES
(Baltic Journal of Economic Studies Vol. 8 No. 2, 2022) Bada, Oladejo Tokunbo; Adetiloyе, Kehinde Adekunle; Olokoyo, Felicia Omowunmi
ASSESSING CREDIT RISK AND LENDING PATTERN IN THE NIGERIA BANKING SECTOR
(JOURNAL OF SOUTHWEST JIAOTONG UNIVERSITY, 2022-02) Isayinka, Isaac Ayomide; Asemota, Franklin Famous; Babajide, Abiola
This article collected secondary data in yearly time series from 2007 to 2020 to analyze nonperforming loans, liquid reserves to assets ratio, capital to assets ratio, domestic credit, and exchange rate and their effects on Nigerian lending rate. The constructed and analyzed model was estimated via the least square technique to achieve its goals. Findings in this research reveal a beneficiary influence of nonperforming loans, capital to asset ratio, and exchange rate on bank lending rate. While liquid reserves to assets ratio, and domestic credit exhibits inverse relation with lending rate. Hence, the relationship between nonperforming loans, liquid reserves to assets ratio, and domestic credit are statistically significant with lending rate. Capital to asset ratio, and exchange rate exhibits an insignificant relation with lending rate. The research suggests consequently that both private individuals and business entities should exercise caution when taking out loans, ensure that the total amount borrowed is sufficient to cover all of their needs. Banks need to use caution when making loans; the prime motive for lending money should not merely be to make a profit. Credit risk is considered substantial; banks need to lower nonperforming loan portfolio and by this, both banks and their clients will experience great benefits.
Investigating the Nexus Between Investor Sentiment and Stock Return Volatility in Nigeria
(International Journal of Multidisplinary and Current Education Research Vol 5, Issue 3, 2023) Ayinuola, Tunde Folorunso; Adetiloye, Kehinde Adekunle
Assessing Liquidity Management and Profitability of Quoted Industrial Goods Companies in Nigeria.
(Journal of Southwest Jiaotong University, Vol 58. No. 3, 2023-06) Asemota, Franklin Famous; Ikpefan, Ailemen O.; Bolanle, Awogbenja Bukola; Adewolu, Michael Abidemi; Aguzue, Sandra Adaeze
Africans Caught in the Web of Migration, the Fears, the Tears, and the Triumphs
(Palgrave Macmillan, 2024) Daudu Basil Osayin; Osimen Goddy U.
Unsupervised learning analysis of European working condition
(Cogent Business & Management VOL. 11, NO. 1,, 2024) Adesina, Olumide S.; Adedotun, Adedayo F.; Alayande, Semiu A.; Efe-Imafidon, Emmanuel O.; Adesina, Tolulope F.; Okagbue, Hillary I.; Onayemi, Oluwakemi O.
Workers require good working conditions to enhance their job performance, in this study, we conducted a survey of European working conditions in 2022 and compared the results with that of 2016 using an unsupervised learning approach for exploratory data analysis and determining the relationships. Hence, the Principal Component Analysis (PCA ) was adopted. The analyses were in two parts for both the 2016 and 2022 surveys. Following the PCA , the first part shows that European workers are mostly characterized by cheerfulness and good spirits. The second part reveals that European workers are best characterized by enthusiasm in their work. Test statistics showed that the European working condition for the two periods does not differ significantly. The working conditions in Europe have not been altered in the space of six years. This study recommends that the working condition in Europe should be improved so that employers would continue to give their best.
Impact of Capital Structure on Financial Performance of Firms in the Nigerian Healthcare Sector
(Journal of Comprehensive Business Administration Research, 2024) Omokore, David Eyitayo; Njogo, BibianaOluckukwu; Omankhanlen, Alexander Ehimare; Islaka, Muideen; Akinjare, Victoria Abosede
This study aims to explore how the capital structure affects the financial performance of healthcare companies listed on the Nigerian StockExchange(NSE)from2012to2021.Capitalstructurewhichconsidershowacompanycombinesitsmixofequityanddebtinfinancingits business is important to its overall operations and growth. To conduct this research, eight healthcare firms listed on the NSE were deliberately chosen. The study examined the financial data of various firms, through their annual reports. The data included short-term and long-term debts, equity (the value of a company’sshares), return on equity,andsize.The studyusedcorrelation and regressionfor its analysis. The results showed that short-termdebt,long-termdebt,andequityhadanegativebutsignificantrelationshipwithreturnonequity.However,thesizeofthecompany had a positive and significant relationship with return on equity. Based on the findings, the study recommends that healthcare firms should consider using long-term debts to increase the time to repay the borrowed capital and generate more profit
Statistical Learning Insights on Nigerian Aviation Service Quality
(International Journal of Transport Development and Integration, Volume: 8, Issue Number: 1, 2024) Adesina, Olumide S.; Adedotun, Adedayo F; Ayoola, Femi J; Adesina, Tolulope F; Alayande, Semiu A.; Onayemi, Oluwakemi O
This investigation employs statistical learning techniques to analyze service quality within Nigeria's aviation industry, a sector integral to the nation's economic vitality and connectivity. The industry has faced challenges exacerbated by economic downturns, notably the rise in fuel prices and the devaluation of the Nigerian Naira since early 2022. Previously reported customer dissatisfaction prompted a thorough examination of passenger and stakeholder experiences. A cross-sectional survey methodology was adopted, yielding data subsequently analyzed through advanced machine learning algorithms. A principal component analysis (PCA) model was refined via leave-one-out cross-validation (LOOCV), an unsupervised learning approach. Findings reveal that crew member performance is the most influential factor on service quality, exhibiting an inverse relationship with other variables in the first principal component. In the second principal component, flight rescheduling emerges as a significant negative determinant. Recommendations from this analysis are directed at aviation industry practitioners, policymakers, and stakeholders, emphasizing the enhancement of crew member recruitment and training processes. Additionally, strategies to adhere to scheduled travel times are advocated. These insights are pivotal for advancing service standards in Nigeria's airline industry.
Women's Access to Housing Finance in Nigeria
(2024) Adegboye, Folasade B; Adesina, Tolulope F.
The criticality of credit recovery m banking system stability: A GM:M I estimation
(Asian Economic and Financial Review, 2024) Amadi, Nkem Agatha; Adetiloye, Kehinde Adekunle; Amadi, Idimmachi Pius
This study examines the criticality of credit recovery on banking system stability in Nigeria using data from 2007 to 2020. T he system generalized method of moments (SYSGMM) was used to analyze the data and determine the presence of cointegrating relationships among the Yariables. The fmdings revealed that credit recovery positively and significantly influences banl;ing system stability. It was discoYered that the recovery rate positively and significantly impacts the banking system stability in the short and long terms. In contrast, recovery expense only negatively and significantly affects the banking system in the short term. T his implies that credit recovery is critical in business endeavors and operations for banks. Hence, the longer the delay in recoYering bad debts, the more banks lose the opportunity to earn income fi·om substiU1te investments, and collateral may lose value. Therefore, this study recommends that banks' management agg-ressively pursue the repayment of bad loans and maintain favorable and minimal recoYery expenses, particularly with external debt recovery agents, to ensure that the cost of recovery is not higher than the amount recovered.
Dataset on Digital Financial Inclusion and Artificial Intelligence: A Structural Equation Modelling (SEM) Approach
(Peer Review, 2024) Jegede, Wuraola P.; Ikpefan, Ailemen O.; Omankhanlen, Alexander Ehimare; Okorie, Uchechukwu E.