Nigeria

Effect of Liquidity Risk on the Profitability of Commercial Banks in Nigeria (Published)

This study examined how liquidity risk affects the profitability of commercial banks in Nigeria, using Return on Equity (ROE) as the measure of profitability. The study focused on three key liquidity indicators: Loan-to-Deposit Ratio (LDR), Cash Reserve Ratio (CRR), and Liquidity Coverage Ratio (LCR). Data were collected from financial statements of selected banks covering 2014 to 2023, and analysis was done using Panel Ordinary Least Squares (OLS) regression. The results showed that LDR had a significant positive effect on ROE (coefficient = 0.040697, p-value = 0.0003), meaning that banks that lend out more of their deposits tend to be more profitable. However, CRR and LCR had negative but insignificant effects on ROE, with coefficients of -0.053538 (p-value = 0.7526) and -0.018040 (p-value = 0.3136), suggesting that holding more reserves or liquid assets slightly reduces profitability but does not have a strong impact. The model explained 93% of the changes in ROE (R² = 0.936993, Adjusted R² = 0.926313), and the F-statistic (87.73978, p-value = 0.000000) confirmed that the overall model was statistically significant. The study recommends that banks optimize their LDR to increase profitability while maintaining enough liquidity to avoid financial risk. It also suggests that banks adopt better asset allocation strategies to reduce any negative effects of CRR and LCR.

Keywords: Cash Reserve Ratio, Commercial Banks, Loan to Deposit Ratio, Nigeria, Return on Equity, and liquidity coverage ratio

Fuel Importation and Exchange Rate Stability in Nigeria (Published)

Fuel importation continues to shape Nigeria’s macroeconomic outcomes, particularly in the context of exchange rate movements and overall economic stability. Despite being a major crude oil producer, Nigeria paradoxically depends on imported refined petroleum products to meet domestic demand. This dependence places sustained pressure on the foreign exchange (FX) market, especially because fuel imports are financed largely in US dollars. Over the years, rising import bills, fluctuations in global oil prices, and structural weaknesses in the downstream petroleum sector have collectively heightened exchange rate instability. Evidence from studies conducted between 2018 and 2025 shows that fuel importation contributes to excess demand for FX, accelerates depletion of external reserves, widens the trade deficit, and amplifies naira depreciation. Recent economic reforms—including the removal of fuel subsidies in 2023–2024 and the gradual expansion of domestic refining capacity—have altered the dynamics of fuel importation. Nevertheless, FX pressures remain, reflecting long-standing structural bottlenecks. This seminar paper critically examines the relationship between fuel importation and exchange rate stability in Nigeria. Drawing from theoretical perspectives and empirical findings, the paper demonstrates how energy-sector inefficiencies translate into macroeconomic volatility. It also highlights how emerging domestic refining initiatives could support FX stability if sustainably implemented. Recommendations are provided for policymakers, regulators, and private sector actors to address Nigeria’s fuel–FX imbalance in a sustainable manner.

Keywords: Foreign Exchange Market, Nigeria, balance of payments, domestic refining, exchange rate stability, fuel importation, petroleum downstream sector, subsidy removal

Lean Accounting Techniques and Competitive Advantage of Listed Manufacturing Firms in Nigeria (Published)

This study explored lean accounting techniques and the competitive advantage of listed manufacturing firms in Nigeria. The main objective was to determine how the adoption of lean accounting techniques such as value stream, target costing, kaizen costing, Box score reporting and visual reporting enhances firms’ strategic competitiveness within Nigerian’s dynamic manufacturing sector. A quantitative research design was employed, using structured questionnaires administered to accounting and managerial personnel of selected listed manufacturing firms. Data were analysed using descriptive and inferential statistics, including regression analysis to test the hypothesized associations. The findings revealed that value stream costing has a significant effect on quality improvement and operational efficiency of the listed manufacturing firms in Nigeria, target costing has a significant effect on quality improvement and operational efficiency of the listed manufacturing firms in Nigeria, kaizen costing has a significant effect on quality improvement and operational efficiency of the listed manufacturing firms in Nigeria, box score reporting has a significant effect on quality improvement and operational efficiency of the listed manufacturing firms in Nigeria and visual reporting has a significant effect on quality improvement and operational efficiency of the listed manufacturing firms in Nigeria. The study concludes that the implementation of lean accounting techniques significantly enhances the competitive advantage of listed manufacturing firms in Nigeria. Policymakers and regulatory bodies are encouraged to promote training, awareness, and supportive frameworks for lean practice implementation.

Keywords: Competitive Advantage, Manufacturing Firms, Nigeria, lean accounting, target costing, value stream

Government Capital Spending on Economic Services and Mortality Rate in Nigeria (Published)

This study examined the effect of government capital spending on economic services on mortality rate (measured by life expectancy) in Nigeria. It adopted an ex-post facto research design and utilized secondary data spanning from 1981 to 2024, sourced from the Central Bank of Nigeria Statistical Bulletin and World Development Indicators. Ordinary Least Squares (OLS) regression analysis was applied to assess the effect of capital expenditure on economic services, such as transportation, energy, and water supply infrastructure, on life expectancy. The results revealed that government spending on economic services had a negative and significant effect on life expectancy, suggesting issues of inefficiency, poor project execution, or misallocation of resources in this sector. The study concludes that to improve life expectancy, policymakers should enhance the efficiency and strategic focus of capital spending on economic services to ensure these investments effectively support health-related outcomes. It recommends better management and monitoring of economic service projects to maximize their impact on human well-being.

Keywords: Nigeria, Public expenditure, economic services, government capital spending, life expectancy

Recruitment and Selection in Civil Society Organisations: Examining Prevailing Challenges in the Nigerian Context (Published)

Over the past two decades, civil society organisations (CSOs) have gained increasing significance in global development, especially in countries like Nigeria where they deliver essential services and advocate for social accountability. Unlike the government and private sectors, CSOs depend heavily on human capital, making effective recruitment and selection (R&S) practices critical to their success. However, Nigerian CSOs face a range of internal and external constraints—including limited institutional capacity, inconsistent recruitment systems, donor-driven hiring pressures, and a misaligned labour market that undermine their ability to attract and retain suitable talent. Despite these persistent challenges, empirical research on R&S within the Nigerian CSO context remains limited. This study addresses this gap by using qualitative methods—specifically semi-structured interviews with HR managers, executive directors, and programme leads from selected Nigerian CSOs—to explore the lived realities shaping recruitment and selection practices. The analysis is framed using the AMO (Ability, Motivation, Opportunity) model, which helps illuminate how organisational actors perceive their capacity to recruit effectively, their motivation to do so under current constraints, and the opportunities available for improvement. Findings reveal that while staff often demonstrate strong motivation to enhance R&S outcomes, their ability and opportunity are constrained by structural limitations, informal hiring processes, and a lack of strategic HR planning. The paper concludes with context-specific recommendations aimed at strengthening R&S systems, addressing organisational inefficiencies, and improving overall human resource effectiveness within Nigerian CSOs. By applying the AMO framework, this study offers both theoretical and practical insights into the human capital challenges affecting the third sector in Nigeria

Keywords: AMO-Model, NGO, Nigeria, civil society organisations, recruitment and selection challenges

Management Information Systems and Competitive Advantage of Energy Firms in Nigeria (Published)

This study explores the significance of Management Information Systems (MIS) in securing a competitive edge for energy companies in Nigeria. In light of the increasing intricacies of operations within the energy sector, especially amidst a landscape characterised by digital transformation and international competition, Management Information Systems have become an essential strategic instrument. The study employs a secondary data approach, extracting insights from established literature, industry reports, and empirical studies to examine the role of Management Information Systems in enhancing cost efficiency, fostering innovation, improving customer service, and informing strategic decision-making. The findings indicate that although the adoption of Management Information Systems has resulted in notable enhancements in operational performance within technologically advanced energy firms, numerous organisations in the sector—particularly public and under-resourced entities—persist in encountering obstacles such as insufficient strategic alignment, inadequate digital infrastructure, and frail data governance. The research further highlights the significance of harmonising Management Information Systems with the overarching objectives of the organisation, while also underscoring the necessity for capacity enhancement and conducive governmental policies. The conclusion drawn is that the strategic implementation of Management Information Systems, coupled with institutional reforms, has the potential to serve as a significant catalyst for competitive advantage within Nigeria’s energy sector. Suggestions are put forth to bolster strategic alignment, refine digital infrastructure, and elevate data quality to fully leverage the advantages of Management Information Systems within the industry.

 

 

Keywords: Competitive Advantage, Management Information Systems, Nigeria, Operational Efficiency, data governance, energy sector, strategic alignment

Artificial Intelligence and Audit Practice of Public Audit Firms in Nigeria: Does Audit Experience and Expertise Matter? (Published)

This study investigates the moderating role of auditors’ expertise and experience on the relationship between artificial intelligence (AI) adoption and audit quality in audit firms in Nigeria. Grounded on Task-Technology Fit (TTF) theory, a quantitative method was employed using data collected from a structured questionnaire administered to 237 respondents after validity and reliability tests. The structural equation modelling (SEM) shows a significantly positive relationship between expert systems of AI, neutral network of AI, machine learning of AI, fuzzy logic of AI, on audit quality of public audit firms in Nigeria, and a significantly positive relationship between auditors’ expertise and experience on audit quality of public audit firms in Nigeria. The study also revealed that auditors’ expertise and experience moderate a significantly positive relationship between artificial intelligence (expert systems, neutral network, machine learning and fuzzy logic) on audit practice (audit quality) on audit quality of public audit firms in Nigeria. Based on the findings, the paper concludes that artificial intelligence is a significant determinant of audit quality in Nigeria. The findings suggest that auditors’ expertise and experience significantly moderate the association between artificial intelligence as a significant determinant of audit quality of audit firms in Nigeria. The study highlights the consequences of human capital in the digital transformation of audit practices and demands better investment in auditor training, digital literacy, and continuous professional development. This valuable knowledge gained suggests very useful implications for audit policymakers, regulatory bodies, and institutions, pointing to the improvement of audit quality through AI integration.

Keywords: Artificial Intelligence, Audit Quality, Nigeria, audit experience, audit practice

Supplier Integration Strategy and Performance of Brewing Firms in Nigeria (Published)

This study explored the influence of supplier integration strategy on the performance of the brewing firms in Nigeria. The research was aimed at establishing empirically the influence exerted by supplier integration strategy on the performance of brewing firms in Nigeria. The survey research design was adopted for the study. The population of this study was 273 managerial staff who were sourced from selected brewing firms in Nigeria while the sample size was 162 as determined through Taro Yamane sample size determination formular. The questionnaire was designed and used for data collection from respondents. The study had a response rate of 73.5%. The simple regression technique was used in testing the research hypothesis. Findings from the study indicated that with an R² value of 0.353, there was a significant positive influence of supplier’s integration strategy on the performance of brewing firms in Nigeria. Based on this result, it was concluded that supplier integration strategy can determine the performance of brewing firms in Nigeria. In line with the result of the study and its conclusion, it was recommended that brewing firms in Nigeria should consider different ways of improving upon their suppliers’ dealings and its overall supplier integration strategy. The brewing firms can do this by strengthening its relationship with their service providers to enhance and improve their service delivery towards improving its performance.

Keywords: Brewing firms, Nigeria, Performance, Suppliers integration strategy

The Impact of Goodwill and Software Assets on Firm Market Value: Evidence from Listed Manufacturing Firms in Nigeria (Published)

The relationship between intangible assets, specifically goodwill and software, and a firm’s market value remains underexplored, especially in emerging economies like Nigeria. This study aims to investigate the impact of goodwill and software assets on the market value of listed manufacturing firms in Nigeria, using both quantitative and theoretical approaches. The sample includes firms listed on the Nigerian Stock Exchange between 2010 and 2023, with market capitalization as the dependent variable. Independent variables include goodwill and software assets, while control variables such as firm size is also considered. The study employs the Least Squares Dummy Variable (LSDV) regression model to estimate the relationships. The findings reveal that while software investments have a significant positive impact on market value, goodwill assets do not show a statistically significant relationship with market capitalization in the Nigerian context. These results challenge conventional wisdom in developed markets, where goodwill is often seen as a key driver of firm valuation. The study suggests that in Nigeria, the market may not fully recognize or value goodwill as a major determinant of firm value, likely due to differences in investor perceptions, regulatory frameworks, and financial reporting practices. Given the growing importance of technology, the study recommends that firms should prioritize software investments to enhance their market value. Policymakers and regulators should also consider improving the transparency of intangible asset reporting to support better market efficiency.

 

Keywords: Nigeria, firm market value, goodwill, listed manufacturing firms, software assets

Government Expenditure on Defense and Battle-Related Deaths (Published)

This study investigates the correlation between government expenditure on defense and battle-related deaths in Nigeria, analyzing data from 2000 to 2022. Despite significant defense spending, Nigeria continues to experience high levels of insecurity, with incidents of violence, kidnappings, and terrorist activities persisting across the country. Utilizing a correlational model, the research explores the connection between defense spending and conflict fatalities, revealing a strong positive correlation between these variables. The findings suggest that while increased defense budgets aim to address security issues, they have not resulted in the anticipated reduction in battle-related deaths, potentially due to resource misallocation, corruption, and a focus on militarized approaches rather than addressing the root causes of conflict. Additionally, external factors, such as regional instability and the proliferation of arms, may exacerbate insecurity despite increased spending. These results underscore the need for a comprehensive strategy that balances defense spending with socioeconomic investments to address underlying factors driving insecurity. The study recommends shifting some resources toward conflict prevention, community policing, and initiatives that promote social cohesion, aiming to achieve a sustainable reduction in violence.

Keywords: Government Expenditure, Insecurity, Nigeria, battle-related deaths, conflict prevention, defense spending, regional instability, socio-economic investment, sustainable development goals.