Factors that influence bond markets development in Ghana

Musah, Alhassan; Badu-Acquah, Bernard; Adjei, Eunice Akyereko

doi:10.22437/ppd.v6i4.6075

Cited by 5 publications

(3 citation statements)

References 15 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…In contrast, Guo et al (2020) reveal that there exists a significantly mixed reaction in corporate bond returns to policy shocks, which is particularly strong with low-rated bonds. However, Musah et al (2019) point out that there is no relationship between the size of the M 2 money supply and bond market developments. Therefore, the article proposes the fifth hypothesis as follows:…”

Section: Literature Review and Developing Hypothesismentioning

confidence: 98%

The growth of the real estate corporate bond market in Vietnam: the role of investor sentiment

Nguyen,

Tuan Nguyen,

Nguyen

2024

RBF

View full text Add to dashboard Cite

PurposeThis paper aims to examine the effects of investor sentiment on the development of the real estate corporate bond market in Vietnam.Design/methodology/approachThe research uses an autoregressive distributed lag (ARDL) model with quarterly data. Additionally, the study employs Google Trends search data (GVSI) related to topics such as “Real Estate” and “Corporate Bond” to construct a sentiment index.FindingsThe empirical outcomes reveal that real estate market sentiment improves the growth of the real estate corporate bond market, while stock market sentiment reduces it. Also, there is evidence of a long-run negative effect of corporate bond market sentiment on the total value of real estate bond issuance. Further empirical research evidences the short-term effect of sentiment and economic factors on corporate bond development in the real estate industry.Research limitations/implicationsDue to difficulties in collecting data, this paper has the limited sample of 54 valid quarterly observations. Moreover, the sentiment index based on Google search volume data only reflects the interest level of investors, not their attitudes.Practical implicationsThese results yield important implications for policymakers in respect of strengthening the corporate bond market platform and maintaining stability in macroeconomic and monetary policies in order to promote efficient and sustainable market development.Social implicationsThe study offers some suggestions for regulators and governments to improve the real estate corporate bond market.Originality/valueThis is the first quantitative study to examine the effect of sentiment factors on real estate corporate bond development in Vietnam.

show abstract

Section: Literature Review and Developing Hypothesismentioning

confidence: 98%

The growth of the real estate corporate bond market in Vietnam: the role of investor sentiment

Nguyen,

Tuan Nguyen,

Nguyen

2024

RBF

View full text Add to dashboard Cite

show abstract

“…When the quality of commercial bank's assets declines, the value of convertible bonds which derive their worth from the assets of the bank, deteriorates rendering them worthless hence becoming less attractive to investors. Previous studies such as Musah and Acquah (2019); Businge (2017); Ntuite (2015); Arif and Anees (2012); Mu, Phelps and Stotsky (2011) have categorically debated on the problems engulfing convertible bonds issuance in various international nations. However, in Kenya, limited study has been done pertaining the influence of convertible bonds on liquidity growth of commercial banks in Nairobi county Kenya.…”

Section: Statement Of the Problemmentioning

confidence: 99%

Influence of Convertible Bonds on Liquidity Growth of Commercial Banks in Nairobi County Kenya

Obong'o

Mutea

Rintari

2020

IJF

View full text Add to dashboard Cite

Purpose: The purpose of this study was to investigate the influence of convertible bonds on liquidity growth of commercial banks in Nairobi county KenyaMethodology: This research applied descriptive research design when gathering data by closed-ended questionnaires on 39 commercial banks in Nairobi County Kenya and secondary data from commercial banks dating from 2016-2018. Overall operations managers, marketing managers and general managers were the respondents. Census technique was used. Pre-testing questionnaires was issued to branch marketing managers, operational managers and assistant managers in simple randomly selected five commercial banks located in Meru county Kenya. SPSS data analysis software was be consulted for quantitatively using the descriptive statistics such as mean, percentage and standard deviation. Tables, graphs and detailed explanations was used to present the final results of the study.Results: The study found out that there was a statistically significant positive relationship between convertible bonds and liquidity growth of commercial banks in Nairobi county Kenya. Convertible had an R value of .732 and an R square value of 0.536. This proved that convertible bonds predicted 53.6% of the changeability in the liquidity growth. The regression coefficients of convertible bonds had a β=.117, P=010 at 0.00 significance level.Unique contribution to theory, policy and practice: The discovery of presence of positive influence of convertible bonds on liquidity growth led to new knowledge contribution by the study. The study recommended that more types of customized bonds should be issued and public awareness should be raised. The study recommended that policies should be developed by government through the central bank whereby bank customers can obtain bonds more often just like the way mobile loan apps are common. This would promote more market for the bonds. Commercial banks should also indemnify various types of bonds with insurance firms so that any misfortune of events like the recent covid-19 pandemic would have minimal impact on the various types of fixed-rate bonds. The study contributed new knowledge when the relationship between corporate bonds and liquidity growth of commercial banks in Nairobi was established.

show abstract

“…Financing large-scale infrastructure projects using domestic bonds is challenging for most developing countries. Bond markets are underdeveloped and, as such, they cannot supply the requisite financial resources [46,47]. Contra to domestic bonds are foreign project bonds, an instrument of choice for large-scale capital-intensive projects.…”

Section: Introductionmentioning

confidence: 99%

Framework Model for Financing Sustainable Water and Sanitation Infrastructure in Zimbabwe

Mundonde,

Makoni

2024

Water

View full text Add to dashboard Cite

Financing frameworks for Public–Private Partnerships (PPPs) are lacking in developing countries. This study aims to develop a financing framework for adoption for water and sanitation PPP infrastructure projects in Zimbabwe. Using data covering a 25-year period from 1996 to 2021, Tobit econometric models are applied to the secondary data collected from both international and domestic sources. The results of this study confirm that capital market variables, bank market development, and economic affluence drive the financing of water and sanitation Public–Private Partnership infrastructure projects in Zimbabwe. It was also established that both public and private sources of finance are instrumental in financing water and sanitation PPP projects. The results inform our eventual framework model, which integrates the Public–Private Partnership (PPP) models, sources of finance for water and sanitation PPPs, and the drivers of water and sanitation PPP finance. This study recommends the application of the developed framework in the water and sanitation Public–Private Partnership infrastructure financing policy of developing countries so as to capitalise on the strengths, resources, and networks of the respective stakeholders in the PPPs.

show abstract

Factors that influence bond markets development in Ghana

Cited by 5 publications

References 15 publications

The growth of the real estate corporate bond market in Vietnam: the role of investor sentiment

The growth of the real estate corporate bond market in Vietnam: the role of investor sentiment

Influence of Convertible Bonds on Liquidity Growth of Commercial Banks in Nairobi County Kenya

Framework Model for Financing Sustainable Water and Sanitation Infrastructure in Zimbabwe

Contact Info

Product

Resources

About