Asian Finance & Banking Review http://www.cribfb.com/journal/index.php/asfbr <div id="content">&nbsp;</div> Centre for Research on Islamic Banking & Finance and Business en-US Asian Finance & Banking Review 2576-1161 Money Market Instruments and Nigeria Inflation Rate: A Time Series Study http://www.cribfb.com/journal/index.php/asfbr/article/view/11 <p>This study empirically examined the effectiveness of money market instruments on Nigerian inflation rate. The objective is to investigate the existing relationship between money market instruments and Nigerian inflation rate, data was sourced from Central Bank of Nigeria statistical bulletin. Multivariate model were formulated having Inflation Rate (INFR) as the function of Percentage of Treasury Bills to Gross Domestic Product (TB/GDP), Percentage of Stabilization Securities to Gross Domestic Product (STS/GDP), Percentage of Treasury Certificate to Gross Domestic Product (TC/GDP), Percentage of Eligible Development Stock to Gross Domestic Product (EDS/GDP), Percentage of Central Bank of Nigeria Short Term Fund to Gross Domestic Product (CBNSF/GDP) and Percentage of Call Money Scheme to Gross Domestic Product (CMS/GDP). The Ordinary Least Square (OLS) properties of co integration, Augmented Dickey Fuller Unit Root, Granger Causality Test and Vector Error Correction Model (VECM) were employed to determine the relationship between the money market instruments and Nigerian inflation rate. Findings revealed that money market instruments are statistically significant in explaining variation in Nigerian inflation rate. We therefore recommend that the money market should well be structured, properly managed and its operational efficiency enhanced to achieve the monetary policy objective of price stability.</p> Philip Umasom ##submission.copyrightStatement## http://creativecommons.org/licenses/by/4.0 2018-08-10 2018-08-10 2 2 1 13 Whither Financial Inclusion? Performance of Bangladesh in the 2017 Global Findex http://www.cribfb.com/journal/index.php/asfbr/article/view/12 <p>On April 19, 2018, the third Global Findex Database was released by the World Bank at the Bank’s Spring Meetings. According to CGAP, this dataset is “the financial inclusion community’s best demand-side measure of financial inclusion globally.” Overall, the dataset points to an increasingly inclusive financial world that is also transitioning to a digital economy. Bangladesh, too, made impressive gains in certain yardsticks for financial inclusion based on this dataset. For instance, the share of people with financial accounts increased from 29 percent to 41 percent, in three years. However, financial inclusion yardsticks should go beyond opening of bank and financial accounts and also encompass usage of accounts. It is only when people are actively using their accounts will we have meaningful financial inclusion.</p> Sajid Amit ##submission.copyrightStatement## http://creativecommons.org/licenses/by/4.0 2018-08-15 2018-08-15 2 2 14 18 The Impact of Exchange Rate on Foreign Private Investment in Nigeria http://www.cribfb.com/journal/index.php/asfbr/article/view/208 <p>The study examined the impact of exchange rate on foreign private investment using quarterly time series date from Nigeria for the period 2007 to 2017. Foreign private investment in the study was disaggregated into foreign direct investment and foreign portfolio investment in order to ascertain their separate reactions to changes in the exchange rate of the naira against the US dollars. The empirical analysis was based on the VAR estimation procedure using three lagged periods adopted on the basis of various lag order selection criteria. The empirical result revealed that devaluation/depreciation of the naira adversely affects foreign direct investment and foreign portfolio investment in Nigeria. Increased in the size of the domestic market and development of the financial sector were found to stimulate foreign private investment while high inflation rate in the domestic economy discourages foreign private investment in Nigeria. The study, therefore, recommended among others that the Central Bank of Nigeria should continue to initiate more proactive policy intervention policies to stabilize the exchange rate of the naira in order to stimulate more foreign private investment in Nigeria.&nbsp;&nbsp;</p> Leonard Nosa Aisien ##submission.copyrightStatement## 2018-11-17 2018-11-17 2 2 19 32