Analyzing The Determinants of Bond Market Development In Nigeria

Abstract

This study uses quantitative research techniques and time series data from the World Bank spanning from 1981 to 2022 to analyze the factors influencing the development of the Nigerian bond market. Using EViews software for analysis, the data shows a strong long-run correlation between the variables, corroborated by the cointegration bonds test. Important discoveries show that the variables move together throughout time, pointing to a steady and trustworthy relationship. Suggestions for policy include holding steady on bond market regulations, advocating for steps to bolster market expansion, purchasing inflation-indexed bonds, and putting anti-inflation plans into action. Long-term plans should prioritize technology advancements, balanced debt management, investment diversification, enhanced legal clarity, and better access to bond issuance. It also advised supporting the bond market and economic development through public-private partnerships.