Impact Of Government Bond On Capitals Market Growth In Nigeria

1.4 RESEARCH HYPOTHESES 

The hypotheses are stated in null and alternative forms.

Ho1: Government bonds do not have effect on capital market growth in Nigeria.

HA1: Government bonds do have effect on capital market growth in Nigeria.

Ho2:Government bonds do not significantly affect economic growth and development in Nigeria 

HA2:Government bonds do significantly affect economic growth and development in Nigeria 

1.5 SIGNIFICANCE OF THE STUDY

i. Government: The study will enable the government to understand when to float bonds and how to set up policies to achieve a stable macro-economic environment animal at fostering the growth of the capital market.                             

ii. Investors: The study will enable investors to seek for better return on their investment in fixed income securities.                          

iii. Students and fellow researchers: This study will enable students to understand the meaning of capital market growth and government bond. Researchers can build on this research work for further study by expanding the scope of for their academic purpose. 

1.6 Scope and Limitation of the Study

This study attempts to investigate the impact of government bonds on capital market growth in Nigeria. Data will be extracted from the entire stock market list in the Nigerian stock exchange annual reports and statement of accounts, Central Bank Statistical bulletin, stock exchange fact book over a period of time specifically 1990 to 2011 which is the scope of the study. This document will form the source of data collection.The researcher encounters some constrain which limited the scope of the study;

a) Availability Of Research Material: The research material available to the researcher is insufficient, thereby limiting the study

b) Time: The time frame allocated to the study does not enhance wider coverage as the researcher has to combine other academic activities and examinations with the study.

c) Organizational privacy: Limited Access to the selected auditing firm makes it difficult to get all the necessary and required information concerning the activities 

1. 7 Definition Of Terms 

• Capital Market: A capital market is a financial market in which long-term debt (over a year) or equity-backed securities are bought and sold. Capital markets channel the wealth of savers to those who can put it to long-term productive use, such as companies or governments making long-term investments.

• Economic Growth: Economic growth is the increase in the inflation-adjusted market value of the goods and services produced by an economy over time. It is conventionally measured as the percent rate of increase in real gross domestic product, or real GDP. 

1.8 ORGANIZATION OF THE STUDY

This research work is organized in five chapters, for easy understanding, as follows: Chapter one is concern with the introduction, which consist of the (overview, of the study), historical background, statement of problem, objectives of the study, research hypotheses, significance of the study, scope and limitation of the study, definition of terms and historical background of the study. Chapter two highlights the theoretical framework on which the study is based, thus the review of related literature. Chapter three deals on the research design and methodology adopted in the study. Chapter four concentrate on the data collection and analysis and presentation of finding.  Chapter five gives summary, conclusion, and recommendations made of the study