AN EMPIRICAL INVESTIGATION OF THE DETERMINANTS OF DEPOSIT MONEY BANK’S INVESTMENT IN TREASURY BILLS IN NIGERIA (1970-2009)
Journal Title: International Journal of Marketing and Technology - Year 2012, Vol 2, Issue 2
Abstract
This study is an empirical investigation of the determinants of deposit money bank’s investment in treasury bills in Nigeria (1970-2009). One hypothesis was formulated to guide and direct the study. The hypothesis formulated was stated thus, there is no significant linear relationship between changes in each of the explanatory variables namely; treasury bill rate, total loan and advances, total liabilities, average lending rate, average liquidity ratio and deposit money banks investments in treasury bills. Data for the study was collected from the CBN statistical bulletin and annual report of various years up to 2009. Data were analyzed, tested using the ordinary least square estimation procedures. Findings resulting from the test showed that the five variables used were able to explain 97 per cent of the total systemic variations in bank’s investments in treasury bills. It was recommended that; the regulatory authorities should make treasury bill rate attractive to deposit money banks in other to ensure that they subscribe a significant percentage of the treasury bill issued by the central bank. Top management of banks should develop adequate and effective strategies aimed at mobilizing adequate deposit for their operations.
Authors and Affiliations
Chris O Udoka and Roland Anyingang A.
Keywords
Related Articles
- EP ID EP19387
- DOI -
- Views 372
- Downloads 18
A COMPARATIVE STUDY ON DEBT SCHEME OF MUTUAL FUND OF RELIANCE AND BIRLA SUNLIFE
Mutual funds are key contributors to the globalization of financial markets and one of the main sources of capital flows to emerging economies. This study provides an overview of the performance of debt scheme of mutua...
A Comparative study on Evaluation of Selected Mutual Funds in India
Mutual Funds industry has grown up by leaps & bounds, particularly during the last 2 decades of the 20th century. Proper assessment of fund performance would facilitate the peer comparison among investment managers, he...
METHODS OF ACCOUNTING AND ITS REFORMING IN THE COUNTRY
The article examines the reform of international accounting standards, the use of scientific and methodological aspects. Studies on the issue of reform of ideas of foreign and domestic scientists, definitions, as well...
A Study on Effect of Internet Advertising on Consumer Behaviourwith special reference to Coimbatore
The project work has been undertaken with a view to study on the Internet advertising effectiveness on consumer. With the fast growth in technical know-how, the internet is becoming an important one stop point for cons...
Botnets: Lifecycle, Attacks, Detection and Prevention
Botnets are arguably the biggest threat that the Internet community has faced. The prevalence of botnets, which is defined as a group of infected machines, have become the predominant factor among all the internet mali...