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Market Liquidity as a Determinant of Stock Market Development in Nigeria

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  • Ebele Sabina Nsofor

Abstract

The paper investigated if market liquidity determines stock market development in Nigeria. To analyze the impact of market liquidity, value of shares traded was modeled on stock market development. Empirical evidence from previous studies showed mixed results. However, this paper has been able to empirically prove that market liquidity is a strong determinant of stock market development in Nigeria Data for the period 2001 - 2010 were collected from Central Bank of Nigeria (CBN) statistical bulletin. Ordinary Least Square (OLS) regression model was used to analyze the data.

Suggested Citation

  • Ebele Sabina Nsofor, 2016. "Market Liquidity as a Determinant of Stock Market Development in Nigeria," International Journal of Empirical Finance, Research Academy of Social Sciences, vol. 5(1), pages 11-21.
    • Handle: RePEc:rss:jnljef:v5i1p2
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