FINANCIAL DEEPENING AND STOCK MARKET PERFORMANCE IN SELECTED SUB-SAHARA AFRICAN COUNTRIES

Edward ATTAH-BOTCHWEY; David Mensah AWADZİE; Williams AGBENYEZİ

doi:https://doi.org/10.17261/Pressacademia.2022.1543

Makale detayları

FINANCIAL DEEPENING AND STOCK MARKET PERFORMANCE IN SELECTED SUB-SAHARA AFRICAN COUNTRIES

Yazarlar:

Edward ATTAH-BOTCHWEY | David Mensah AWADZİE | Williams AGBENYEZİ

Yayıncı:

PressAcademia

Ana Başlıklar:

Yönetim | Genel yönetim

Dergi:

Journal of Economics Finance and Accounting 2022 Vol.9 Issue 1, pp.30-38

Belge Tipi:

Makale

Yayın Tarihi:

3/2022

Belge Dili:

İngilizce

Document ID (Org No.):

2000738368

Sıklık:

Üç Aylık

eISSN:

2148-6697

DOI:

https://doi.org/10.17261/Pressacademia.2022.1543

Özet:

 

Purpose- The study investigates the effect of financial deepening on stock market performance in selected Sub-Saharan African countries by
determining the relationship that exist between financial deepening and stock market performance. Expansion in the financial services to
reach out to the underbanked or unbanked in our society enables these individuals to assess banking services, thereby boosting economic
activities.
Methodology- The study considers four selected countries in Sub-Saharan African over the period 2001 to 2019. Multiple regression analysis
techniques were used with Seemingly Unrelated Regression (SUR) to analyse the data. SUR used in this analysis provides the lowest standard
errors of the estimated parameters.
Findings- Ordinary Least Square (OLS) gives consistent results. However, it is not as efficient as the SUR method, which amounts to feasible
generalised least squares with a specific form of the variance matrix. It solves the problem of endogeneity. The study conducted Augmented
Dicky Fuller (ADF) test, Hausman test, and Bruce Pagan test to avoid any challenges associated with data normality.
Conclusion- The research finds out that broad money supply, a proxy for financial deepening, positively and statistically significantly impacted
stock market performance in each of the four countries. It was recommended that all countries involved in this study and others implement
policies that seek to enhance financial deepening in increasing broad money supply as a percentage of GDP. The increase in overall money
supply allows for investment in productive sectors of the economy.

Makale detayları

FINANCIAL DEEPENING AND STOCK MARKET PERFORMANCE IN SELECTED SUB-SAHARA AFRICAN COUNTRIES

Yazarlar: Edward ATTAH-BOTCHWEY | David Mensah AWADZİE | Williams AGBENYEZİ

Yayıncı: PressAcademia

Ana Başlıklar: Yönetim | Genel yönetim

Dergi: Journal of Economics Finance and Accounting 2022 Vol.9 Issue 1, pp.30-38

Belge Tipi: Makale

Yayın Tarihi: 3/2022

Belge Dili: İngilizce

Document ID (Org No.): 2000738368

Sıklık: Üç Aylık

eISSN: 2148-6697

DOI: https://doi.org/10.17261/Pressacademia.2022.1543

Sayı

Yazarlar:

Edward ATTAH-BOTCHWEY | David Mensah AWADZİE | Williams AGBENYEZİ

Yayıncı:

PressAcademia

Ana Başlıklar:

Yönetim | Genel yönetim

Dergi:

Journal of Economics Finance and Accounting 2022 Vol.9 Issue 1, pp.30-38

Belge Tipi:

Makale

Yayın Tarihi:

3/2022

Belge Dili:

İngilizce

Document ID (Org No.):

2000738368

Sıklık:

Üç Aylık

eISSN:

2148-6697

DOI:

https://doi.org/10.17261/Pressacademia.2022.1543