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Asymmetric evidence of foreign direct investment response to stock returns in Nigeria

Title: Asymmetric evidence of foreign direct investment response to stock returns in Nigeria
Authors: Joel Ede Owuru; Olumuyiwa Samuel Oladele
Source: Future Business Journal, Vol 9, Iss 1, Pp 1-14 (2023)
Publisher Information: SpringerOpen
Publication Year: 2023
Collection: Directory of Open Access Journals: DOAJ Articles
Subject Terms: Foreign direct investment; Stock returns; Nonlinear autoregressive distributed lag; Business; HF5001-6182; Finance; HG1-9999
Description: This study examines the response of foreign direct investment (FDI) to asymmetric changes in stock returns in Nigeria. We employed disaggregated monthly data for Nigeria (1985M01–2017M12) to test the magnitude of stock returns’ elasticity of FDI using a nonlinear ARDL modelling framework. By controlling for exchange rate and output size, evidence of asymmetric response of FDI to stock market returns in Nigeria could not be denied. Hence, sustainable development in Nigeria requires a long-run balance between FDI and Stock market through a stable exchange rate management system and efficiency of the capital market is necessary for increased FDI.
Document Type: article in journal/newspaper
Language: English
Relation: https://doi.org/10.1186/s43093-023-00194-4; https://doaj.org/toc/2314-7210; https://doaj.org/article/ed27ac0147be403fa6d5993d224d11c6
DOI: 10.1186/s43093-023-00194-4
Availability: https://doi.org/10.1186/s43093-023-00194-4; https://doaj.org/article/ed27ac0147be403fa6d5993d224d11c6
Accession Number: edsbas.2D7B3ABB
Database: BASE