The paper analyzes volatility spillover between exchange rate and stock market in “turbulent” and... more The paper analyzes volatility spillover between exchange rate and stock market in “turbulent” and “calm”, otherwise, “bull” and “bear” periods in the Nigerian stock market from 1st January, 2010 to 31st December, 2017 using a regime heteroskedastic Markov switching model in line with Kim (1993). The approach allows regime shift in both mean and variance of a series where failure to allow for regime shift leads to an overstatement of persistence of the variance, Lamoureuex and Lastrapes (1990). Results from preliminary investigations reveal that both stock returns and exchange rate series are characterized with non- normal distribution, presence of unit root and ARCH effects. Further, evidence of two regimes, that is, bear and bull markets, was established with higher persistence, that is, high transition probabilities, in the bear as against the bull market at 0.9455 and 0.8686, respectively. However, duration of stay in the regime is higher in the bull market (regime 2) than in the...
The paper sets to explore the debate of whether a shift to a more stabilized low-inflation regime... more The paper sets to explore the debate of whether a shift to a more stabilized low-inflation regime as a result of monetary policy dynamics could lead to a decline in the degree of pass-through of exchange rate movements to consumer prices. The paper deviates from previous empirical work as it subjects the series to multiple structural break tests as proposed by Bai and Perron (2013) which help to identify policies related to stabilizing the environment and also uses panel-data approach. The paper utilizes quarterly data from 1981q1 to 2014q3 and covers oil exporting countries in Sub-Saharan African and lends it support to the Taylor Hypothesis. Specifically, the paper confirms the hypothesis that the degree of exchange rate pass-through to consumer price declines following inflation stabilization policies as witnessed in the selected countries. Guided by the findings of the paper, the policies adopted after 2010s seems to be more credible in stabilizing the environment than the polic...
International Journal of Islamic Economics and Finance Studies, 2015
Despite tremendous growth of Islamic finance globally, the phenomenon is relatively new in Nigeri... more Despite tremendous growth of Islamic finance globally, the phenomenon is relatively new in Nigeria. The first full-fledged Islamic bank, Jaiz Bank Plc, was licensed as a regional bank by the Central Bank of Nigeria (CBN) in 2011 and it started its operations in January, 2012. Over 3 years now, the apex regulatory body is yet to develop robust shari’ah complainant instruments for liquidity management of Islamic banks in Nigeria. This paper assesses the predicaments of Jaiz bank Plc over the last 3 years of its operations in the face of this challenge on the basis of secondary data from the financial statements of the Bank. Evidences on the basis of CAMEL analysis show that while the Bank performs quite well in respect to capital adequacy, assets and management quality, the Bank, however, suffers most, on average, with respect to earning quality and liquidity. The paper recommends that the CBN should, while the shari’ah compliant instruments are being awaited, introduce a measure of d...
International Journal of Islamic Business & Management, 2018
Ijarah-wa-iqtina, also known as Al-Ijarah Thummal Al-Bay (AITAB) is a leasing contract where the ... more Ijarah-wa-iqtina, also known as Al-Ijarah Thummal Al-Bay (AITAB) is a leasing contract where the ownership of the leased asset is transferred to the lessee at the end of the leasing contract. With the inception of Ja’iz Bank Nigeria Plc, the product has grown in the Ja’iz Bank’s housing and auto-finance. Despite this popularity, majority of small scale businesses especially tricycle operators in Kano metropolis are still not aware of the product and the benefits attached to it. This research assesses the potentials of Ijarah-wa-iqtina in financing tricycle operation in Kano using a multiple regression model from a sample of 311 respondents. The study found myriad of problems associated with conventional mode financing arrangements prior to ijarah-wa-iqtina. It was also established that religious inclinations of respondents have strong influence on potential benefits from switching to ijarah-wa-iqtina. The paper recommends that Islamic financial institutions and well-to-do business p...
Since its emergence in the early 2000’s, Sukuk has been regarded as the most significant innovati... more Since its emergence in the early 2000’s, Sukuk has been regarded as the most significant innovation recorded in the Islamic capital market. Sukuk is generally regarded as an equivalent of conventional bond, Sukuk paved way for mobilization of long term Shari’ah compliant funds for equally Shari’ah compliant undertakings. Islamic capital market experts have developed various Shari’ah compliant Sukuk structures, notable among which is Waqf-based Sukuk structure. Viewed as a distinct ethical capitalism and a veritable vehicle for long term financing, Waqf was found to record tremendous impact in all spares of human needs. The paper seeks to unveil how Waqf-based Sukuk could be used to attain effective mobilization as well as management of Waqf assets. It explores the possibility of issuing Waqf-based Sukuk for the development, renovation, reconstruction and modification of Waqf assets in Nigeria. The paper employs a non-experimental, deductive-analytical approach, in its investigation....
This paper seeks to assess the reactions of Nigeria’s stock market to monetary policy innovations... more This paper seeks to assess the reactions of Nigeria’s stock market to monetary policy innovations during the period of global financial crisis on the basis of monthly data over the period January, 2007 to August, 2011. In particular, stock market return was regressed against major monetary policy instruments; money stock (M1, and M2) and monetary policy rate (MPR). The theoretical
This paper assesses the determinants of import and export demand functions. The object is to empi... more This paper assesses the determinants of import and export demand functions. The object is to empirically measure the relative strengths and weaknesses of the determinants import and export, and to examine, using the Marshall-Lerner hypothesis, the condition ...
It is recognized in the literature that the pattern of exchange rate pass-through is a very impor... more It is recognized in the literature that the pattern of exchange rate pass-through is a very important instrument in the design of monetary policy, particularly in response to an exchange rate shock. This paper investigates, for the first time, the degree of exchange rate-pass-...
This paper seeks to assess the impact of oil price shock and real exchange rate volatility on rea... more This paper seeks to assess the impact of oil price shock and real exchange rate volatility on real economic growth in Nigeria on the basis of quarterly data from 1986Q1 to 2007Q4. The empirical analysis starts by analyzing the time series properties of the data which is followed by ...
The paper analyzes volatility spillover between exchange rate and stock market in “turbulent” and... more The paper analyzes volatility spillover between exchange rate and stock market in “turbulent” and “calm”, otherwise, “bull” and “bear” periods in the Nigerian stock market from 1st January, 2010 to 31st December, 2017 using a regime heteroskedastic Markov switching model in line with Kim (1993). The approach allows regime shift in both mean and variance of a series where failure to allow for regime shift leads to an overstatement of persistence of the variance, Lamoureuex and Lastrapes (1990). Results from preliminary investigations reveal that both stock returns and exchange rate series are characterized with non- normal distribution, presence of unit root and ARCH effects. Further, evidence of two regimes, that is, bear and bull markets, was established with higher persistence, that is, high transition probabilities, in the bear as against the bull market at 0.9455 and 0.8686, respectively. However, duration of stay in the regime is higher in the bull market (regime 2) than in the...
The paper sets to explore the debate of whether a shift to a more stabilized low-inflation regime... more The paper sets to explore the debate of whether a shift to a more stabilized low-inflation regime as a result of monetary policy dynamics could lead to a decline in the degree of pass-through of exchange rate movements to consumer prices. The paper deviates from previous empirical work as it subjects the series to multiple structural break tests as proposed by Bai and Perron (2013) which help to identify policies related to stabilizing the environment and also uses panel-data approach. The paper utilizes quarterly data from 1981q1 to 2014q3 and covers oil exporting countries in Sub-Saharan African and lends it support to the Taylor Hypothesis. Specifically, the paper confirms the hypothesis that the degree of exchange rate pass-through to consumer price declines following inflation stabilization policies as witnessed in the selected countries. Guided by the findings of the paper, the policies adopted after 2010s seems to be more credible in stabilizing the environment than the polic...
International Journal of Islamic Economics and Finance Studies, 2015
Despite tremendous growth of Islamic finance globally, the phenomenon is relatively new in Nigeri... more Despite tremendous growth of Islamic finance globally, the phenomenon is relatively new in Nigeria. The first full-fledged Islamic bank, Jaiz Bank Plc, was licensed as a regional bank by the Central Bank of Nigeria (CBN) in 2011 and it started its operations in January, 2012. Over 3 years now, the apex regulatory body is yet to develop robust shari’ah complainant instruments for liquidity management of Islamic banks in Nigeria. This paper assesses the predicaments of Jaiz bank Plc over the last 3 years of its operations in the face of this challenge on the basis of secondary data from the financial statements of the Bank. Evidences on the basis of CAMEL analysis show that while the Bank performs quite well in respect to capital adequacy, assets and management quality, the Bank, however, suffers most, on average, with respect to earning quality and liquidity. The paper recommends that the CBN should, while the shari’ah compliant instruments are being awaited, introduce a measure of d...
International Journal of Islamic Business & Management, 2018
Ijarah-wa-iqtina, also known as Al-Ijarah Thummal Al-Bay (AITAB) is a leasing contract where the ... more Ijarah-wa-iqtina, also known as Al-Ijarah Thummal Al-Bay (AITAB) is a leasing contract where the ownership of the leased asset is transferred to the lessee at the end of the leasing contract. With the inception of Ja’iz Bank Nigeria Plc, the product has grown in the Ja’iz Bank’s housing and auto-finance. Despite this popularity, majority of small scale businesses especially tricycle operators in Kano metropolis are still not aware of the product and the benefits attached to it. This research assesses the potentials of Ijarah-wa-iqtina in financing tricycle operation in Kano using a multiple regression model from a sample of 311 respondents. The study found myriad of problems associated with conventional mode financing arrangements prior to ijarah-wa-iqtina. It was also established that religious inclinations of respondents have strong influence on potential benefits from switching to ijarah-wa-iqtina. The paper recommends that Islamic financial institutions and well-to-do business p...
Since its emergence in the early 2000’s, Sukuk has been regarded as the most significant innovati... more Since its emergence in the early 2000’s, Sukuk has been regarded as the most significant innovation recorded in the Islamic capital market. Sukuk is generally regarded as an equivalent of conventional bond, Sukuk paved way for mobilization of long term Shari’ah compliant funds for equally Shari’ah compliant undertakings. Islamic capital market experts have developed various Shari’ah compliant Sukuk structures, notable among which is Waqf-based Sukuk structure. Viewed as a distinct ethical capitalism and a veritable vehicle for long term financing, Waqf was found to record tremendous impact in all spares of human needs. The paper seeks to unveil how Waqf-based Sukuk could be used to attain effective mobilization as well as management of Waqf assets. It explores the possibility of issuing Waqf-based Sukuk for the development, renovation, reconstruction and modification of Waqf assets in Nigeria. The paper employs a non-experimental, deductive-analytical approach, in its investigation....
This paper seeks to assess the reactions of Nigeria’s stock market to monetary policy innovations... more This paper seeks to assess the reactions of Nigeria’s stock market to monetary policy innovations during the period of global financial crisis on the basis of monthly data over the period January, 2007 to August, 2011. In particular, stock market return was regressed against major monetary policy instruments; money stock (M1, and M2) and monetary policy rate (MPR). The theoretical
This paper assesses the determinants of import and export demand functions. The object is to empi... more This paper assesses the determinants of import and export demand functions. The object is to empirically measure the relative strengths and weaknesses of the determinants import and export, and to examine, using the Marshall-Lerner hypothesis, the condition ...
It is recognized in the literature that the pattern of exchange rate pass-through is a very impor... more It is recognized in the literature that the pattern of exchange rate pass-through is a very important instrument in the design of monetary policy, particularly in response to an exchange rate shock. This paper investigates, for the first time, the degree of exchange rate-pass-...
This paper seeks to assess the impact of oil price shock and real exchange rate volatility on rea... more This paper seeks to assess the impact of oil price shock and real exchange rate volatility on real economic growth in Nigeria on the basis of quarterly data from 1986Q1 to 2007Q4. The empirical analysis starts by analyzing the time series properties of the data which is followed by ...
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Papers by Shehu Usman Rano Aliyu