Abel Ezeoha - Academia.edu (original) (raw)

Papers by Abel Ezeoha

African Journal of Economic and Management Studies, Apr 12, 2011

PurposeThe purpose of this paper is to examine whether industry‐specific factors play a more sign... more PurposeThe purpose of this paper is to examine whether industry‐specific factors play a more significant role in the financing decisions of firms than firm‐specific characteristics; and to determine the degree of uniformity that exists between a firm's capital structure and industry financing patterns in Nigeria.Design/methodology/approachThe described study makes use of fixed effects panel regression techniques. The dataset, which covers the period 1990‐2006, comes from a sample of 71 non‐financial firms quoted in the Nigerian Stock Exchange.FindingsThe study finds support for both the pecking order theory and the trade‐off theory of capital structure in Nigeria. Firms/industries that are more profitable have less proportion of debt, and those that have a higher level of asset tangibility use more long‐term finances. Empirically, the study reveals that the set of factors that explain firm‐specific determinants of capital structure do not statistically and significantly explain the way industries follow finance.Practical implicationsThe study affirms the need for firms to invest reasonable resources in setting up capital structure policies, rather than herd along industry patterns.Originality/valueThough studies on industry herding and financial leverage are not new, the paper gives interesting insights into the nature of the relationship in an atmosphere of shortage of capital supply and poor corporate performance.

International Journal of Law and Management, Feb 2, 2010

PurposeThe purpose of this paper is to establish whether inefficiency in a tax system and the lik... more PurposeThe purpose of this paper is to establish whether inefficiency in a tax system and the likely difficulty in resolving tax matters can reduce the appeal for tax shield as incentive for debt financing, and by so doing exacerbate the cases of tax fraud.Design/methodology/approachA review approach/theoretical approach is adopted in the paper, where, in addition to reviewing literature on the relationship between tax incentives and corporate financing, the paper examines the structure of the Nigerian tax system, the gaps, and some pending tax cases involving foreign firms in Nigeria. Based on some theoretical judgments, efforts were made to link the rising cases of tax frauds to the dwindling appeal for tax shield as an incentive for the use of debt.FindingsThe study reveals that, as in the case of Nigeria, an environment of multiple tax system reduces incentives to pay tax or for voluntary compliance; that the exclusion of crucial non‐debt tax shelters such as depreciation, heightens pressure on the use of debt‐based tax shelters; and that controversies on deductibility make it difficult to distinguish between criminal and civil proceedings in tax cases.Research limitations/implicationsThe paper is only theoretical. The number of cases captured is very limited. However, the issue of tax frauds among corporate entities in the country remains very popular.Originality/valueThe paper is the first to examine the likelihood of an inefficient tax environment to reduce the appeal of tax shield as an incentive to debt financing.

... In the case of the pre-consolidation banking era considered above, it is clear that corporate... more ... In the case of the pre-consolidation banking era considered above, it is clear that corporate size has little impact on the level of ... However, a further examination of the post-consolidation results of the top four post-consolidation banks the First Bank of Nigeria, the Union ...

Society & Natural Resources, Mar 7, 2017

International Migration, Mar 18, 2013

The Journal of Internet Banking and Commerce, 2005

The Journal of Internet Banking and Commerce, 2006

Abstract: This paper is the second part of an earlier one on the problems and challenges of Inter... more Abstract: This paper is the second part of an earlier one on the problems and challenges of Internet banking regulation in Nigeria. The paper argues that for Internet banking to assume a developmental dimension in Nigeria and for the country to be fully integrated in the ...

Business Ethics: A European Review, Nov 9, 2019

IGI Global eBooks, Jan 18, 2011

Internet banking strategy can be generally very challenging, but more challenging in an economic ... more Internet banking strategy can be generally very challenging, but more challenging in an economic environment infested with high degree of corruption, insecurity, bad governance, poverty, and financial system instability. Due to its global nature, Internet banking, under such situation, is threatened by the easiness at which off-line crimes are transmitted into online businesses, and the difficulty in building trusts and confidence in online business relationships. Using the Nigerian case, this chapter aims at establishing some theoretical link between offline country image and Internet banking reputation. The chapter summarizes the structural and regulatory challenges in the Nigerian banking system. It represents and relates the country’s socioeconomic conditions with its Internet business reputation; and lays down past regulatory and global efforts to control the menace of the Nigerian version of Internet frauds. The last two sections of the chapter, respectively, suggest some future research direction and conclude the chapter.

Journal of Economic and Financial Sciences, Oct 31, 2011

Journal of Financial Regulation and Compliance, Feb 22, 2011

PurposeThe aim of this paper is to identify the major determinants of bank asset quality in an er... more PurposeThe aim of this paper is to identify the major determinants of bank asset quality in an era of regulation‐induced industry consolidation, using the Nigerian case to demonstrate how consolidation can heighten incidences of non‐performing credits in a fragile banking environment.Design/methodology/approachThe paper makes use of panel data from 19 out of a total of 25 banks operating in Nigeria. A multivariate constant coefficient regression model is adopted as the estimation technique. The dependent variable in the model is quality of bank assets, proxied as the proportion of non‐performing loans (NPL) to total loans; while operating efficiency, profitability, asset liquidity, loans to deposits ratio, predictability of depositors' behaviour, size of bank capital, and board skill constitute the exogenous variables.FindingsThe study reveals that deterioration in asset quality and increased credit crisis in the Nigerian banking industry between the periods 2004 and 2008 were exacerbated by the inability of banks to optimally use their huge asset capacity to enhance their earnings profiles. It shows that excess liquidity syndrome and relatively huge capital bases fueled reckless lending by banks; and that increase in the level of unsecured credits in banks' portfolios ironically helped to mitigate the level of NPL within the studied period.Research limitations/implicationsThe findings here should be interpreted with caution. The reason is because of the relatively fewer number of observations and the likely biases associated with the use of pooled regression approach.Originality/valueThis paper is one of the first to investigate the specific impact of banking consolidation on the quality of bank assets in an underdeveloped financial system. Among such countries facing such challenge, the Nigerian case is unique considering that the 2004/2005 banking consolidation in the country was recorded as the largest in the history of banking in Africa. The findings here make clearer the policy/practical implications of using regulation‐induced consolidation to pursue the goal of increased credit flows in a less developed financial system.

Evidence & Policy: A Journal of Research, Debate and Practice, 2014

Journal of Banking Regulation, Apr 1, 2009

International Journal of Financial Services Management, 2010

... This implies that how the development would impact on the lending behaviour of banks depends ... more ... This implies that how the development would impact on the lending behaviour of banks depends on the nexus between the state, real sector and the ... The work of Ely and Robinson (2001) confirmed that small-business lending increased among big banks evolving from ...

African Development Review, Dec 1, 2015

The Journal of Risk Finance, Aug 15, 2008

PurposeThe purpose of this paper is to investigate, from an undeveloped market perspective, the n... more PurposeThe purpose of this paper is to investigate, from an undeveloped market perspective, the nature and significance of firm size as a determinant of corporate financial leverage.Design/methodology/approachA panel data fixed‐effects regression model is used to estimate the relationship between financial leverage and firm size, while controlling also for the effects of other acclaimed determinants like asset tangibility, profitability and firm age. The dataset used covers 71 firms quoted in the Nigerian stock markets over a 17‐year period (1990‐2006).FindingsThe study reveals that as much as 91.4 percent of the total finances of Nigerian‐quoted firms is of short‐term liabilities, with just 8.6 percent constituting long‐term liabilities. It finds that firm size is negatively and significantly related to financial leverage. Controlling for some other determinants, the arising results tend to confirm an over‐bearing influence of the pecking order theory in the financing patterns of Nigerian‐quoted firms – by revealing that the relationship between profitability and financial leverage is highly significant and negative; and that firm‐age is positively and significantly related to financial leverage.Originality/valueUsing data from a country with undeveloped and inefficient financial markets, this paper provides an important insight on the international debate on the effects of size on corporate decisions.

Journal of Sustainable Development in Africa, 2006

The Internet journal of health, 2008