Factors Affecting Capital Structure Decisions of Banks: A Systematic Literature Review Evidence from Commercial Banks of Ethiopia
Tesfaye Eresso Gofe,
Arega Seyoum Asfaw
Issue:
Volume 9, Issue 3, June 2023
Pages:
39-49
Received:
9 June 2023
Accepted:
27 June 2023
Published:
8 July 2023
Abstract: The study intends to examine the literature on factors influencing capital structure decisions of commercial banks in Ethiopia in order to identify existing gaps and the degree of existing research in the subject, as well as to provide direction for future research. Due to a lack of studies for the stated review and access to the known database, the review was conducted utilizing eleven relevant and available scholarly papers that were published in any time period, primarily using open search engines and databases. To identify the articles, various key words were employed. The PRISMA framework was used to analyze the capital structure decisions study work. The review protocol outlined the inclusion and exclusion criteria. The descriptive analysis was performed based on different parameters to arrive at conclusions. The findings revealed that most of the variables of interest explored in the studies contradicted each other and the previous literature variables. The capital structure studies were conducted by considering few variables, and most of the studies were not cited. The findings regarding the theories supported by factors affecting the capital structure decisions of commercial banks in Ethiopia were contradictory and not justified. The banking literature still doesn't cover the capital structure of banks very much. There is currently a lack of clarity regarding how banks determine their capital structure and what variables affect their corporate financing behavior. Therefore, it is recommended that the concerned body conduct an in-depth study of the decisions banks make about their capital structure by identifying pertinent elements.
Abstract: The study intends to examine the literature on factors influencing capital structure decisions of commercial banks in Ethiopia in order to identify existing gaps and the degree of existing research in the subject, as well as to provide direction for future research. Due to a lack of studies for the stated review and access to the known database, th...
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Domestic Public Debt and Economic Growth in Nigeria: Effect of Political Regimes
Abiodun Akanbi,
Uche Joe Uwaleke
Issue:
Volume 9, Issue 3, June 2023
Pages:
50-57
Received:
2 May 2023
Accepted:
23 May 2023
Published:
5 August 2023
Abstract: The study examined the relationship between domestic public debt and economic growth in Nigeria between 1981 to 2019. In this period Nigeria was under military rule and civilian rule. The study was able examined the relationship domestic debt and economic growth in Nigeria based on type of regime. The ARDL estimation technique was used in the study. The study was hinged on the endogenous and neoclassical growth theories. The results shows that a positive relationship exists between domestic public debt and economic growth in Nigeria under the military and negative relationship on domestic public debt and growth during democratic rule in the short and long run. Also, the results revealed that domestic debt has a long run insignificant positive impact on growth, budget deficit has a positive relationship with growth although not significant. The results also shows that prime lending rate have significant positive long run effect on growth. The effect of inflation on economic growth is negative in the long run and not significant. The results showed there was evidence of unidirectional causality from population growth to economic growth. There was evidence unidirectional causality from to economic growth to prime lending rate and gross fixed capital formation growth. It can be concluded based on the findings of this study that the political regime could have impact economic growth and public debt. The study recommends borrowing should be done with prudently to make public debt sustainable.
Abstract: The study examined the relationship between domestic public debt and economic growth in Nigeria between 1981 to 2019. In this period Nigeria was under military rule and civilian rule. The study was able examined the relationship domestic debt and economic growth in Nigeria based on type of regime. The ARDL estimation technique was used in the study...
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