Browsing by Author "Abdurraheem, Abdulazeez Adewuyi"
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Item Banks’ Price Behaviour and its Determinants in Nigeria(College of Business & Social Sciences,Covenant University,Ota,Nigeria, 2021-06-29) Etudaiye-Muhtar, Oyebola Fatima; Jimoh, Abdulrasaq Taiye; Abdurraheem, Abdulazeez Adewuyi; Ibrahim, Wasiu OluwatoyinBank-based financial systems, through the financial intermediation function, enhance economic growth. However, in the performance of this function, banks are faced with issues such as information asymmetry and inefficient institutional qualities that may lead to increased operational costs which reflects as social costs of financial intermediation and are passed on to economic units. Consequently, banks may be confronted with the problem of determining the right price for its products and services. On this premise, this study examines the pricing behaviour of Nigerian commercial banks and its determinants. The random effects regression estimation technique is used on annual panel data of 15 publicly listed Nigerian commercial banks for the period 2005 – 2017. Results from the investigation show that bank-specific factors such as bank size (0.871, p<0.05) liquidity (0.256, p<0.01), credit quality (0.095, p<0.1), and inflation (0.436, p<0.05) as a macroeconomic variable, have positive and significant effects on bank price behaviour. These findings suggest that the variables are associated with higher social costs of financial intermediation in commercial banks in Nigeria. It is recommended that in order to lower borrowing costs, banks should endeavour to reduce the level of these bank-specific factors which would lead to a reduction in costs associated with information asymmetry and inefficiency. In terms of inflation, banks are recommended to factor in inflation-related costs into their pricing process while monetary policy regulators should put in place, policies that target reduction in inflation ratesItem Marketability of Islamic Banking Products in Nigeria: A Case Study of Jaiz Bank Plc(Department of Finance, Faculty of Management Science, University of Ilorin, Ilorin, 2022) Jimoh, Abdulrazaq T.; Bamigbade, Dayo; Attah, John A.; Abdurraheem, Abdulazeez Adewuyi; Kolawole, Kayode D.The marketability of Islamic financial products is a goal which requires painstaking efforts and strategies on the part of the banks. This goal has however come under serious scrutiny in Nigeria as only a small portion of the Nigerian financial market has been attracted for the products. Thie study therefore analysed the marketability of Islamic banking products in Nigeria with the objective of assessing the relationship between marketing activities, staff training and Islamic banking products in Nigeria. Data were collected from annual reports of Jaiz Bank Nigeria PLC for ten years (2012-2021). The data were analysed via with Pearson correlation techinique. The result indicates that Murabaha (0.64), and Musharakah (0.66) had strong positive relationship with marketing activities while Istisna (0.83) had positive relationship with staff training. The relationships (p-value 0.046, 0.038, 0.003) were found to be significant at 5% level of significance. The study concluded that marketability of Islamic banking products in Nigeria is generally related to marketing activities and the level of knowledge and skills that employees acquired by staff through training and seminars. The study therefore recommended that Jaiz Bank Nigeria PLC should engage in aggressive marketing to boost customers patronage of its products. Increase in the percentage of staff cost allocated to training is also necessary to enhance employees' skills and knowledge for improved market share for the banks' products.Item Perception Study on the Effects of Interest Free Financing of Islamic Banking on Information Asymmetry among Entrepreneurs: Evidence from Nigeria(Islamic Business School, Universiti Utara Malaysia, 2022-06-30) Abdurraheem, Abdulazeez Adewuyi; Abdulkadir, Rihanat Idowu; Etudaiye-Muhtar, Oyebola FatimaThis study investigates the perception of the relationship between interest-free financing contracts of Islamic banking as an incentive to provide voluntary information disclosure among entrepreneurs in Nigeria thereby reducing the incidence of information asymmetry. Questionnaires were used as an instrument of data collection. Multivariate Logistic Regression Model was employed to estimate the model. The result showed a positive and significant relationship between the incentive of interest-free financing contracts and motivation to give voluntary information disclosure, thereby minimizing the incidence of asymmetric information. Similarly, the finding also indicates that level of education, understanding and awareness of the procedures of obtaining credit facilities from banks (both conventional and non-interest banks) has a significant relationship with the entrepreneurs’ motivation to give voluntary information disclosure to the banks concerning the financing contracts obtained from Islamic banks. However, the religious belief of the entrepreneurs did not indicate a significant relationship with their decisions to have a banking relationship with Islamic banks but was largely motivated by economic factors and business decisions in their relationship with the banks and their motivation to give voluntary information disclosure. This study, unlike most previous studies on Islamic banking in Nigeria, investigates the perception of entrepreneurs of the relationship between the incentive of interest-free financing contracts and motivation to volunteer greater information. The policymakers can, therefore, leverage the positive perception of entrepreneurs of the incentive of interest-free financing, to reduce information asymmetry in Islamic banking, and promote the establishment of more Islamic banks through appropriate legislations and regulations that can ensure enabling operating environment. This would, in turn, promote financial inclusion and reduce the widening funding gap experienced by small and medium enterprises in the country.