KASU JOURNAL OF ECONOMICS AND DEVELOPMENT STUDIES
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MONETARY POLICY SURPRISES AND HIGH-FREQUENCY RESPONSES ON THE FINANCIAL MARKET OF MAJOR AFRICAN ENERGY PRODUCERS
Full text linkThis paper investigates the high-frequency impact of U.S. monetary policy surprises on the financial markets of major African energy producers, including Nigeria, Angola, Algeria, Egypt, and Libya. As the U.S. Federal Reserve’s decisions are a primary driver of global financial conditions, and these nations' energy sectors are critically important yet vulnerable to external shocks, understanding this transmission channel is essential. Employing an event study methodology around Federal Open Market Committee (FOMC) announcement dates, the studyutilize a well-established measure of monetary policy surpriseschanges in short-term interest rate futuresand analyze daily data on national stock indices, energy sector equities, exchange rates, and sovereign bond yields. The studyfinds that unanticipated U.S. monetary policy tightening leads to statistically significant and economically meaningful negative returns in African equity markets, with pronounced effects within the energy sector. The magnitude of these responses is heterogeneous across the sample, varying systematically with a country’s fiscal health and external position
DETERMINANTS OF THE FACTORS INFLUENCING HOUSEHOLDS’ LIVELIHOOD CHOICES IN POST–INSURGENCY: CASE STUDY OF MUBI NORTH, ADAMAWA STATE
Full text linkInsurgency brutally affects socioeconomic activities, means of sustenance, and productivity. This study identifies the factors that influence households’ livelihood choices in post-insurgency in Mubi North, Adamawa State. A stratified random sampling was employed, and 335 structured questionnaires were administered to sample households. Three livelihood categories, such as farming only, non-farming only, and both farming and non-farming, were used in this study, and multinomial logistic regression was employed in identifying factors that influence the livelihood choices of the households. The result reveals that 54% of the respondents adopted non-farming activities as their source of livelihood, 26% derive their livelihood from both farming and non-farming activities, while 20% generate their means of sustenance from farming activities only. Socioeconomic characteristics of the respondents, such as sex, age, marital status, level of education, access to credit, farm size, household size, season, availability of natural resources, and institutional policies, were the major determinants of livelihood choices. However, only four of the socioeconomic characteristics, viz-a-viz level of education, sex, farm size, and institutional policies, significantly influenced the livelihood choices of the respondents in the study area. As the adoption of farming livelihood category was low, this study recommends that local, state government, and other development partners provide adequate farming implements to enhance food security in the study area.  
AGRICULTURAL TRANSFORMATION AND ECONOMIC DEVELOPMENT OF WEST AFRICAN COUNTRIES; IT IMPLICATION ON AFRICAN FOOD SECURITY
Full text link As West African region seeks to diversify its economies and reduce dependency on volatile commodity markets, transforming agriculture from low-productivity subsistence farming into a high-value, market-oriented sector becomes imperative. This transformation involves the adoption of modern technologies, improved infrastructure, better access to credit and markets, and supportive policies that enhance productivity and competitiveness. This study examined the impact of Agricultural transformation on economic development of West African counties from 2014-2024. An ex-post facto research design was used. Secondary data from world bank development indicators were used for this study. The panel regression technique was used for data analysis with the aid of E-view 12.0 software. The result indicated that agricultural Productivity, agricultural mechanization rates, access to agricultural inputs and agricultural market integration has significant impact on economic development of West African counties. while, agricultural adoption of Improved Technology, Agricultural Employment and agricultural GDP contribution were insignificant. The study concluded that Agricultural transformation has significant impact on economic development of West African counties. The study recommended that governments and stakeholders should invest more in agricultural research and extension services to improve crop varieties and farming techniques, thereby sustaining and enhancing productivity across the region. West African countries should promote affordable access to farm machinery through subsidy programs, leasing schemes, and support for private sector mechanization services to reduce labour intensity and increase efficiency in agricultural production among others
POTENTIALS OF STRATEGIC ALIGNMENT BETWEEN THE NIGERIAN MARITIME AND INDUSTRIAL SECTORS IN LIGHT OF THE AFRICAN CONTINENTAL MARKET
Full text linkThis paper explores the strategic alignment between Nigeria's maritime and industrial sectors, focusing on seaport efficiency, industrial utilization capacity, production value, and industrial zones. The study utilized secondary data from 2014 to 2021.The study utilized multiple linear regression. The study found a positive correlation between seaport efficiency and industrial utilization capacity, with a 0.08% increase in Apapa Seaport and a 34.4% increase in Tin-Can Island port efficiency. At the zonal levels of Apapa, Ikeja, and Ogun, the results indicate a positive and direct relationship between seaport efficiency and industrial production value. For example, a unit increase in seaport efficiency in Apapa results in a 9.63 unit increase in the industrial production value for the Apapa zone, while Tin-can Island port efficiency remains constant. Furthermore, the Apapa zone's production value is positively correlated with Tin-can Island Seaport, with an increase in seaport efficiency resulting in a 0.65 unit increase in the zone's industrial production value. The study reveals that enhancing Tin-can Island port efficiency leads to a 5.23 unit increase in industrial production value, while Apapa port efficiency has no significant impact on Ikeja zone industrial production value. The industrial output value in the Ogun zone increases by 2.16 units with an increase in port efficiency of Apapa and 1.43 units with an increase in port efficiency of Tin-can Island. The paper proposes a strategic partnership between Tin Can Island Seaport and the food and beverages industry to leverage the advantages of the African Continental Market Free Trade Agreement
ANALYSIS OF THE NON-LINEAR IMPACT OF TRADE LIBERALIZATION ON OIL INDUSTRIAL SECTOR OUTPUT IN NIGERIA (1981-2023)
Full text linkTrade liberalization is regarded as industrial growth catalyst, yet its true impact on Nigeria's oil sector remains uncertain, especially given the country’s heavy reliance on oil exports, therefore, this paper is to examine if trade liberalization has a non-linear impact on oil manufacturing output, with a focus on capturing the disaggregate impact of trade liberalization indicators from 1981 to 2023. The study used descriptive statistics and Non-linear Autoregressive Distributed Lag (ARDL) framework which found that the error correction term (COINTEQ) at -0.341 is significant with a moderate short-run adjustment mechanism. The result also showed a Positive change in Trade Liberalization significantly stimulate oil manufacturing output (OMO). Also, foreign direct investment positively impacts oil manufacturing output but is not statistically significant in the long run. On the other hand, the GDP growth rate had a positive and significant impact on oil manufacturing output only in the long run. The study thereafter recommended that policymakers should prioritize initiatives like reducing trade barriers, streamlining customs procedures, and actively participating in regional and international trade agreements
THE IMPACT OF ECONOMIC GROWTH, OIL PRICE CHANGE ON ENERGY CONSUMPTION: EVIDENCE FROM SELECTED SUB-SAHARAN AFRICA OIL EXPORTING COUNTRIES
Full text linkThis study aimed at examining, in panel context, the long run relationship between economic growth and energy consumption for selected Sub-Saharan African net oil exporting countries (Angola, Cameroon, The Republic of Congo, Equatorial Guinea, Gabon, Ghana, Nigeria and Sudan) from 1990 to 2014 by using cointegration method of Dynamic Ordinary Least Squares (DOLS) and Fully Modified Ordinary Least Squares (FMOLS). The study utilized the data obtained from world development indicators (WDI) and U.S. Energy Information Administration (EIA). The results from both DOLS and FMOLS indicate that, there exist a long run relationship between the variable of oil price and the interaction term of oil price and GDP per capita, therefore, the two variables are the factors influencing the energy consumption in the study area. Therefore, energy conservation policies for abolition or reducing energy subsidies or elimination of energy price distortions will have little or no impact on economic growth
IMPACT OF RECAPITALISATION ON MERGERS AND ACQUISITIONS IN NIGERIA’S BANKING SECTOR
Full text linkThe central bank of Nigeria’s (CBN) recent recapitalization directive, which requires commercial banks to increase their minimum capital to N500 billion for international licenses, N200 billion for national licenses, and N50 billion for regional licenses has led to surge in merger and acquisitions in the banking system. This paper examines the impact of recapitalization on mergers and acquisition in Nigeria’s banking sector, with a focus on the types of mergers and acquisitions, motivations, and challenges. The study adopts a qualitative approach, using secondary data from existing literature and industry reports. The findings suggest that the recapitalization directive has accelerated the trend of mergers and acquisitions in the banking sector, driven by the need to meet the new capital requirements. The paper concludes that mergers and acquisitions will continue to play a crucial role in shaping the Nigerian banking sector
IMPLICATIONS OF KIDNAPPING ON ECONOMIC ACTIVITIES OF VICTIMS IN CHIKUN AND KAJURU LOCAL GOVERNMENT AREAS, KADUNA STATE, NIGERIA
Full text linkThis study investigates the implications of kidnapping on the economic activities of victims in Chikun and Kajuru Local Government Areas of Kaduna State. Kidnapping poses a significant threat to economic stability in Nigeria, particularly in Chikun and Kajuru Local Government Areas of Kaduna State. For instance, scores of farmers have abandoned their farming activities and fled their ancestral homes to seek refuge due to ceaseless attacks on their communities by bandits and kidnappers. In addition, economic activities have been affected as government took proactive measures leading to closures of bush markets. The menace of kidnapping has also led to the disruption of tourism and hospitality businesses as many tourists are afraid to patronize tourist attraction sights and hotel services due to fear of being kidnapped. The study adopted quantitative approach using a targeted vulnerable population of 17000 victims living in Chikun LGA while 15,292 victims living in Kajuru LGA. The study population comprised of farmers, business people, and transporters and among others. A sample size of 395 was obtained using Taro Yamane’s formula. The material used for data collection was the structured close-ended questionnaire. The result shows that kidnapping affects Agricultural production, business activities, tourism and hospitality businesses, and manufacturing operations in Kaduna Central Senatorial District. The study recommends multifaceted interventions, including victim support and counselling programs, financial assistance for economic boosts and recovery, and community-based initiatives to mitigate the effects of kidnapping on various businesses
EVALUATING THE EFFECT OF POWER SUPPLY OUTAGE ON SMALL AND MEDIUM ENTERPRISES PERFORMANCE: (A CASE OF KADUNA NORTH, KADUNA SOUTH AND SABON GARI LOCAL GOVERNMENT IN KADUNA STATE)
Full text linkThe objective of this paper is to evaluate the effect of power supply outage on the performance (productivity and profitability) of small and medium enterprises in Kaduna North, South and Sabon gari local Government. The study used Multiple Regression Methods in the form of Ordinary Least Square and cross sectional data from 311 SMEs. The result of the finding reveals that 90.91% of the enterprises indicated that power supply outage was the major constrained to their performance, with an average of 180 hour of power outage per month lasting for 6 hours per day, causing the enterprises an average of N240, 000:00 monthly. On the willingness to pay, the findings shows that a total of 286 enterprises (91.96%) agreed to pay an increase of 50% addition to the current tariff charge to receive constant power supply. The findings also shows that power supply outage have negative effect on the productivity and positive effect on profitability. The study recommend that, with the recent bill singed in to law in 2023, which gives state right to generate, transmit and distribute electricity, Kaduna state should revisits it abandoned independent power project plant of 215mw generating capacity, reactivate it and generate electricity in order to increase the electricity supply in the state to bridge the demand gaps of 300mw which was not supply by the national grid, so that the SMEs in the state will enjoy uninterrupted power supply to enable them function efficiently and also the use of renewable energy by the SMEs as an alternatives to generating set
IMPACT OF OIL PRICE SHOCK ON FOOD PRICES IN NIGERIA
Full text linkThe main objective of this study is to investigate the asymmetry effect of oil price on food prices in Nigeria. The study utilized monthly data over the period of 252 months (January 2000 to December 2021) and applied Non-linear Autoregressive Distributed Lag Model (NARDL) for the analysis. The results reveal that oil price has asymmetric effect on food prices in Nigeria both in the short run and long run. The short run asymmetries reveal that an increase in oil price insignificantly increase food price while a reduction in oil price significantly reduce food price in Nigeria. Based on the results, the study recommends that government should explore the implementation of price stabilization mechanisms for essential food items, particularly during periods of oil price shocks. This can include the establishment of strategic food reserves, as well as the implementation of targeted subsidies to cushion the impact on consumers