Browsing by Author "Abdulkadir, Rihanat Idowu"
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Item Board Size Determinants(UUM Press, Universiti Utara Malaysia, 2020) Bazet, Olayemi Badru; Nordiana, Osagie Davie; Abdulkadir, Rihanat IdowuThis paper seeks to investigate the determinants of board size for Nigerian companies. To accomplish the aim of the study, a panel data set of public listed companies in Nigeria from 2005 to 2015 was employed. The results showed that the most common board size of Nigerian companies ranged from four to 18 members. Specifically, the findings indicated that board size was a function of company and industry characteristics. A significant and positive association was found between company size and board size, while CEO ownership and ownership concentration were negative. The results lend support to theoretical arguments that a company's board structure is determined by the scope of company operations and monitoring costs associated with the company. Since company-specific characteristics determine board size, the impact of board size on corporate outcomes may differ based on these characteristics. Therefore, it would be helpful if future studies could consider the interactive effect of company characteristics when investigating the impact of board size on corporate outcomes.Item Corporate Governance Mechanisms and Dividend Policy(Departments of Accounting & Finance and Business Administration, 2018) Olanrewaju, Joy Olarike; Abdulkadir, Rihanat Idowu; Salam, Mudathir OlanrewajuDecline in dividend payments and weak corporate governance in Nigerian deposit money banks for the need for this study. Therefore, the study investigates how corporate governance mechanisms such as executive compensation, debt financing, block ownership and directors' membership influence the dividend policy of these banks between 2006-2016. The secondary data and for this study was extracted from the annual reports of the banks and different editions of the CBN fact book. Two-Step system Generalized Method of Moments (GMM) estimator was employed for analyses. Findings revealed that executive compensation, lagged dividend and size significantly affect dividend payment of deposit money banks while other mechanisms like debt financing block ownership and directors' ownership were insignificant in explaining dividend function in Nigeria banks. The study concludes that executive compensation affects firm's ability to study recommends that regulatory bodies like CBN, NDIC should ensure that the compensation and in the bank executives in regularised so that the interest of investors will not be undermined.Item Corporate Social Responsibility Practices amongst Manufacturing Small and Medium Scale Enterprises (SMEs) in Ilorin, Kwara State(2013) Etudaiye-Muhtar, Oyebola Fatima; Abdulkadir, Rihanat IdowuThe study examines the corporate social responsibility practises of small and medium scale enterprises engaged in manufacturing activities in Ilorin, Kwara State. In achieving this, questionnaires were distributed to twenty small and medium scale enterprises and one hundred respondents from the host community. Percentages and Independent sampled t-test were used to analyse the data gathered for the study. Although the analyses of responses gathered shows that mall and medium scale enterprises that engaged in manufacturing activities in Ilorin metropolis carry out corporate social responsibility practices for the benefit of their host communities, however, they do not contribute to the sustenance of the amenities provided. The study also revealed that these small and medium scale enterprises concentrate their corporate social responsibility interventions on education and employment while paying little or no attention to other areas. The study further revealed that both small and medium scale enterprises and host communities agree to the fact that the former carry out CSR practises while they disagree on the fact that such activities are sustained further. Based on this, the study recommends amongst others that small and medium scale enterprises should try as much as possible to provide further support to activities earlier sponsored as that us what can make the amenities provided to serve the needs of the host communities.Item Determinants of financial deepening in Nigeria(Department of Accounting, Kogi State University, 2013) Abdullahi, Ibrahim B.; Etudaiye-Muhtar, O.F; Abdulkadir, Rihanat IdowuThe purpose of this paper is to examine the determinants of financial deepening in Nigeria with a specific focus on how financial sector policies, real interest rate and the level of economic activity affect financial deepening. The study is carried out using the Bounds Test approach to determine the long-run and short run relationship between financial deepening, real output and financial sector policies employing time series data. A financial liberalization index is constructed to show the effect of financial liberalization on financial deepening. The study finds out that in the long run, both the level of economic activity and the real interest rate have a positive effect on financial deepening with only the real interest rate being significant. The financial liberalization index is seen to have a negative and significant effect on financial deepening. The paper recommends the removal of interest rate controls and advocates for the effective implementation of financial sectors policies in order to deepen the Nigerian Financial system.Item Determinants of Stock Market Liquidity in Nigeria(Labuan Faculty of International Finance, Universiti Malaysia Sabah, 2022) Abdulkadir, Rihanat Idowu; Olatinwo, Olabanji Hafeez; Afolabi, Hafsat OlatanwaThis paper examines the predictors of stock market liquidity in Nigeria. Using the autoregressive distributed lag (ARDL) bounds testing approach on monthly data series, the study finds evidence that stock market liquidity is enhanced with improved market performance and monetary interventions by the government. The study also finds that while liquidity persistence features in the market, high price levels impede market liquidity. However, no evidence is found for such persistence in the long run. Results obtained are robust to alternate specification of liquidity with the use of the AMIHUD illiquidity ratio. Policy holders and investors should consider the predictors documented in this study when making liquidity forecasts or investment decisions. This will assist to mitigate related risks, enhance market liquidity and consequently improve investors’ confidence in the marketItem Dividend Payment Behaviour and Its Determinants(Wiley Online Library, 2016) Abdulkadir, Rihanat Idowu; Nur Adiana, Hiau Abdullah; Woei-Chyuan, WongThis paper offers new evidence on the existence of disappearing dividend phenomenon in the Nigerian stock market and as to how clientele, catering and life-cycle theories of dividend affect firms' dividend paying behaviour. We did not find conclusive evidence to suggest that dividend payments had become second order of importance in firms' payout policies during 2003-2012 because we only observed a dO\\"I1ward trend in dividend payments during 2010-2012. Logistic regression of a probability to payor not to pay dividend and a panel regression of the size of dividend payment show that clientele theory stands out as compared to catering and life-cycle theories. Finns in our sample shape their dividend policies in line with the preference of foreign investors who have less preference for dividend over capital gain due to dividend taxes imposed on these shareholders. This underlines the importance of foreign investors on firms' corporate decisions given the fact they owned more than half of the total shares traded on the Nigerian Stock Exchange. Other detem1inants that affect the propensity to pay are profitability, investment opportunities, leverage, cash flow, crisis, stock market performance, past dividend and interest rate with signs that are consistent with the prediction of traditional dividend theories.Item Dividend Policy Changes in the Pre-, Mid-, and Post-Financial Crisis(Asian Academy of Management, 2015) Abdulkadir, Rihanat Idowu; Nur Adiana, Hiau Abdullah; Wong, Woei-ChyuanThis paper examines the impact of the global financial crisis on Nigerian listed firms' dividend policies. Our findings indicate that firms adjust their dividend policies in a manner consistent with the need to preserve financial flexibility and mitigate going¬concern risks during the crisis period. Specifically, highly leveraged firms and firms with low cash/lows are more likely to omit dividend payments during the crisis. Moreover, the negative effects offoreign ownership on dividend payments during the pre-crisis are muted during the crisis. This suggests that the tax-induced clientele effect became irrelevant as cash dividends became the first order of business for foreign investors during the crisis. In the same vein, prevailing investor demand for cash dividends exerts a positive influence on firms' probability to increase dividends during the crisis, implying that markets attach a high valuation to firms that are able to pay during the crisis period. We also find support for past dividends as a reference point for current dividend decisions in both the crisis and non-crisis periods, although the relation is weakened during the crisis. This implies that some managers strive to maintain stable dividends during the crisis period. Nevertheless, their ability to do so weakens during this period.Item Dividend relevance during financial crisis: A study of quoted Nigerian Banks(Department of Business Administration, Adamawa State University, Mubi, 2013) Abdulkadir, Rihanat Idowu; Ijaiya, Muftau A.; Baffa, A.M.Dividend relevance suggests that dividend policies have effects on market value of the firm as reflected in their share prices. The study examined whether this relevance is maintained during financial crisis. The study covered banks listed on the Nigerian Stock Exchange during the period of 2008 to 2009 as it is believed that they account for huge portion of the dividend payments. Data was sourced majorly from the DataStream (Thomson Reuter’s Worldscope database). A model was formulated to test whether the dividend payout policies of banks influence their share prices during crisis period using market price per share as the dependent variable and dividend payout ratio as the main independent variable. It was revealed that dividend payout ratio is positively and significantly related to share prices during the crisis period. Thus, dividend relevance holds even during financial turmoil. Based on this, it was recommended that firms should not use crisis period as an opportunity to cut or omit dividends as it may impact negatively on their market value although such cut or omission may be necessary for strategic reasons in some situations.Item Dynamic Relationship between Nigeria-US exchange rate and crude oil price(Emerald group publishing, 2010) Jimoh, Olajide Raji; Abdulkadir, Rihanat Idowu; Bazeet, Olayemi BadruPurpose - The purpose of this paper is to investigate the dynamic relationship between Nigeria-US exchange rate (XR) and crude oil price (OILP) using daily data from 1 January 2001 to 31 December 2015. Design/methodology/approach - The study uses alternative methods, including vector autoregressive¬generalised autoregressive conditional heteroskedasticity 01 AR-GARCH) within the framework of Baba-Engle-Kraft-Kroner model, constant conditional correlation (CCC)-GARCH and dynamic conditional correlation (DCq-GARCH models. Findings - The results from the VAR-GARCH model indicate unidirectional cross-market mean spillovers from oil market (OILM) to foreign exchange market (FXMJ. In addition, the results show a positive effect of OILP on XR, suggesting that an increase in OILP appreciates Nigerian currency relative to US dollar and a fall in OILP depreciates it. The authors find that the effects of cross-volatility spillovers between the OILM and FXM are bidirectional. The CCC results indicate positive correlations of returns of 16 per cent between the FXM and OILM. Finally, the OCCs results indicate positive correlations between the two markets since the fourth quarter of 2008 (the world financial crisis period) until the recent period of world oil glut and slow demand for crude oil. Research limitations/implications - Following the depreciation of the Nigerian currency vis-a-vis US dollar since the onset of the recent world oil glut and lower oil prices, Nigerian authorities should embark on subsidy reform, such as reduction in fuel subsidies. This may enable the release of fiscal resources that may be used to either rebuild fiscal space lost or finance investment in non-oil sectors in order to reduce overdependence on oil income. Lower fiscal revenues, coupled with the risk that crude oil maintains its low price for some time, imply that government should reduce its expenditure, and continue to draw on available accumulated funds from the excess crude account for some time until the real depreciation required for adjustment is achieved. Originality/value - Studies on volatility spillovers between OILM and FXM are limited in the literature, particularly in Nigerian case. Moreover. the study employs different approaches for broader analysis. These alternative methods, a clear departure from the previous studies, provide comprehensive dynamic nature of the relationship between the FXM and OILM.Item Earnings impact on dividend payout decisions on the Nigerian stock exchange(Faculty of Management Sciences, Ladoke Akintola University, Ogbomosho, 2014) Abdulkadir, Rihanat Idowu; Salman, Ramat TitilayoThe argument that the link between earnings and dividend has weakened stimulates the interest to re-examine the relationship. Based on a sample of 774 firm-year observations drawn from 126 non-financial firms listed on the Nigerian Stock Exchange, the study examined the effect of the main determinants of dividend payout as given in Lintner's model and other variables on dividend payout decisions in the Nigerian market. Both descriptive analysis and logit regression analysis were employed in proffering answers to the research questions raised. Findings indicate strong support for Lintner's model as it was revealed that the level of earnings and past dividend are still paramount in dividend decision of firms listed on the exchange. Thus, the study concludes that the relationship between dividend and earnings has not weakened on the Nigerian Stock Exchange.Item Economic Downturn and Credit Risk(Department of Economics, Umaru Musa Yar'Adua University, Katsina Nigeria, 2018-06) Abdulazeez, Adewuyi Abdurraheem; Abdulkadir, Rihanat Idowu; Oyebola, Fatima Etudaiye-MuhtarThis paper investigates the impact of the economic downturn on the credit risk of the Nigerian banking sector using quarterly data for the period 2007 - 2016. The study employs ARDL (Autoregressive Distributed Lag) approach to eo in tegration. The study also conducted causality test using the Modified Wald (MWALD) test proposed by Toda and Yamamoto (1995) to determine the direction of causality among the variables. The results provide empirical support for the existence of a long-run relationship between the credit risk of Nigerian banks and macroeconomic variables, namely GDP growth, interest rate, inflation and foreign exchange rate. Most importantly the study finds greater causality power of interest rate, inflation and foreign exchange rate over the credit risk of Nigerian banks during the study period. The findings of the study have important implications for the impacts of the macroeconomic factors on the quality of the risk assets of the banks. One practical implication for Nigerian banks; is the integration and assessment of the paten tial impacts of the macro economic environments into the evaluation and assessment mechanism of the quality of their risk asset portfolio. Similarly, in order to mitigate another round of banking crisis and therefore a financial system instability in the country, the government and the monetary authority should therefore, work to harmonize the government's fiscal policies and the monetary policies with a view to reducing the interest rate, inflation and exchange rates in order to reduce the negative impacts of volatile macroeconomic environment on the risk assets of the banking sector.Item The effect of financial statement on economic decision of primary stakeholders in Nigerian Banks(Department of Business Administration, University of Ilorin, 2011) Abdulkadir, Rihanat Idowu; Aliu, Olanrewaju Atanda; Salam, Mudathir OThe major objective of accounting is to provide information for decision making to various users. Such information can be obtained from the financial statements of organizations. This study provides empirical evidence on the impact of the information contained in the financial statements on the economic decisions of selected primary stakeholders in Nigerian banks. The four banks chosen for the study include United Bank for Africa, First Bank, Guaranty Trust Bank and Diamond Bank. Also, three user groups namely shareholders, employees and depositors were surveyed in the study. The data for the study was collected from a questionnaire distributed to two hundred and forty respondents. Percentages, Z-score statistical test and ANOVA were used to analyze the data gathered for the study. The results of the analysis shows that the primary stakeholders lack the ability to analyze information contained in the financial statements and also reveal further that the stakeholders do not base their economic decisions on the evaluation of the banks' financial statements. The study therefore concludes that the financial statements have no significant impact on the economic decisions of primary stakeholders of the banks. Based on this, the study recommends amongst others that regulatory bodies and Nigerian banks should organize educative sessions at intervals for stakeholders to enlighten them on the importance of financial reporting to their economic decision making and to guide them on how to read and analyze information contained in the financial statementsItem The effects of real earnings manipulation on future operating performance: empirical evidence from public listed companies in Nigeria(College of Social and Management Sciences, Afe Babalola University, 2016) Badru, O.B; Jimoh, O.R; Abdulkadir, Rihanat IdowuThis study analyses the aspects of real earnings management proxy that involves sales manipulation employed by companies to improve current performance against the future performance. The main objective was centred on whether manipulation of earnings to show good performance in the current period has implication on future performance. In order to achieve the objective, secondary data for a total number of 117 company year observations over a period from 2009 to 2011 was used. The empirical analysis in this study provide evidence that larger percentage of Nigerian companies engage in sales manipulation to mimic strong performance in the current period, which later have adverse consequences on their future performance. The implication is that real earnings management through sales manipulation has a negative effect on the future performance. Based on the results, it can be concluded that real earnings management has negative influence on the future performance of companies. The study infers that this explains why most of the Nigerian companies could not survive in the long term because managers deceive investors by managing earnings to falsify performance.Item Executive Pay-Performance Relationship among Listed Deposit Money Banks in Nigeria(University of Dar es Salaam Business School, Tanzania, 2021) Abdulkadir, Rihanat IdowuItem Explanation for dividend payout policies of listed firms in Nigeria: Macroeconomic factor or firm specific characteristics(Department of Accounting, University of Jos, 2012) Abdulkadir, Rihanat Idowu; Ijaiya, Muftau A.; Baffa, A.MThis study was carried out to investigate whether macroeconomic factor (proxied by inflation) affects dividend payout of firms while controlling for firm specific characteristics. Data was obtained from Datastream (worldscope database) on a final sample of sixty- four companies. Results from random effect regression indicates that inflation has no significant effect on dividend payout of listed firms in Nigeria. Profitability and investment were found to be significant in explaining dividend payout. The study concludes that some of the firms are not paying dividends due to the need to explore viable investment opportunities. Thus, it was recommended that investors should be carried along on the justification for which the firm omits or cut dividend to avoid negative impact on firm’s value.Item Financial Flexibility and Dividend Payout(Departments of Accounting & Finance and Business Administration, 2017) Abdulkadir, Rihanat Idowu; Abdurraheem, Abdulaziz Adewuyi; Siyanbola, Akeem AdetunjiRecent decline in the average payout ratios and suspected decline in financial flexibiliry affirms listed in the financial service sector of the Nigerian Stock Exchange stimulates the interest to conduct this study, The study examines whether dividend payment decisions can be explained by financial flexibility of the sampled firms. To achieve this, the study obtained data from the published financial statements of the firms, Binomial logistic regression and panel linear regression were employed to investigate how financial flexibility explains "decision to pay or not "pay" and "amount of dividends paid" respectively. Findings indicate that financial flexibility.Item Foreign direct investment (FDI) and industrial development in Nigeria: 1990-2005.(Department of Sociology, University of Ilorin, 2011) Yousouph, R.O; Abdulkadir, Rihanat Idowu; Okafor, E.EThis study discusses the impact of foreign investment on Nigeria’s industrial development between 1990 and 2005. It considers the various economic programmes of successive governments in Nigeria especially the Structural Adjustment Programme (SAP) as well as global economic intervention like NEPAD. Finally, it discusses the various factors determining inflow of FDI into the country and make suggestion for public private partnership as a means to achieve desired industrial development in Nigeria.Item Foreign portfolio investment and stock market performance in Nigeria(Faculty of Social and Management Sciences, Olabisi Onabanjo University, Ago-Iwoye, 2018) Abdulkadir, Rihanat Idowu; Raji, J.O; Badru, B.OThe paper examines the impact of foreign portfolio investment (FPI) on stock market performance in Nigeria using monthly data from year 2006 to 2015. Results from ARDL bound testing approach reveals that FPI have adverse effect on market performance. However, the role of FPI altered during the global financial crisis of 2008 and 2009 as it increased stock price index and reduced market volatility during this period. This suggests that foreign inflows were valued more during the crisis period. Findings also reveal that macroeconomic factors, which include exchange rate, money supply and interest rate, explain stock market index while exchange rate affects stock return volatility. The study offers useful policy implications for government in its liberalization policies and recommends that government should be more cautious in its liberalization policy. The interest of domestic investors should not be undermined while putting measures in place to encourage FPI of longer-term nature.Item Home bias and return chasing by foreign portfolio investors: evidence from selected Sub-Saharan African markets(Inderscience Publishers, 2022) Abdulkadir, Rihanat IdowuItem Impact of Education and Gender on Personal Income Tax Compliance in Kwara State, Nigeria(Faculty of Business and Social Sciences, University of Ilorin, 2013) Salam, Mudathir O; Aliu, Olanrewaju Atanda; Abdulkadir, Rihanat IdowuThe study investigates the impact of educational qualification and gender on personal income tax compliance in Kwara State. A questionnaire was administered to 450 respondents in the three local government areas in Ilorin metropolis. Mann-Whitney U test and Analysis of Variance statistical techniques were employed to analyze the data collected. The results reveal that both educational qualification and gender affect personal income tax compliance. As such, the study recommends that the Kwara State Board of Internal Revenue should target the taxpayers with lower level of educational qualifications and male; with a view to directing its audit strategies in respect of the evaders and bridge the tax gap also to create awareness about the penalty attached to tax evasion.