Effect of Market Analysis on Capital Market Development in Nigeria

Abstract

The significance of a developed capital market in order to foster economic growth is highly imperative to developing countries, Nigeria inclusive. More so, capital market provides long-term financing that is designed to encourage economic growth. In view of the foregoing, this study examines the effect of market analysis on capital Market development in Nigeria, using secondary data covering the period of 2010 to 2020. Findings reveal the existence of a negative and longrun relationship between capital market development and Market Analysis in Nigeria. The empirical findings review that there is no significant Effect of Market Analysis on Capital Market Development in Nigeria. Given the F-Statistics value of 4.286903 of the regression analysis as well as the probability (F-Statistics) value of 0.060878, which is more than 0.05, there is enough evidence to accept the null hypothesis of the study. In lieu of that, there is need to make provision for modern facilities in the capital market targeted towards encouraging foreign investors by maintaining state of the art technological services. More so, there is need for Nigeria to develop a capital market that is effective and efficient, by expanding access to credit and financial services, encourage long-term savings mobilisation and long-term capital for investment.