This research work examines the role of the
forensic accountant in fraud detection in Nigeria with comparative analysis
of public and private sectors. Forensic accountant plays a significant role in
organizations whereby he investigates with the use of technological equipment
in its assignment. The researcher employs primary data (questionnaire and
personal interview) to collect data. Hypotheses were tested with the use of z-
test at 5% level of significance and the result reveal that a good forensic
accountant will assist in the growth and development of any organization in
which he/she carry out his/her assignment. This study recommends among others
that a high degree of mutual trust, respect and understanding should exist
among the forensic accountants, in the public and private sectors and
management in order to achieve the organizational objectives should have a
mutual relationship with the preparers of financial statements.
Table of Contents
Chapter One: Introduction
1.1 Background to the Study
1.2 Statement of Problem
1.3 Research Questions
1.4 Objective of the Study
1.5 Statement of Hypothesis(es)
1.6 Significance of the Study
1.7 Scope of the Study
1.8 Limitations of Study
1.9 Definition of Terms
Chapter Two: Review of Related Literature
Growth and Development
between Capital Market and Economic Growth and Development
Chapter Three: Research
Method and Design
Description of Population of the Study
Source of Data Collection
Method of Data Presentation
Method of Data Analysis
Data Presentation, Analysis and Interpretation
Presentation of Data
Summary of Findings, Conclusion and Recommendations
Summary of Findings
Background to the Study
The role of long-term
capital in the economic development of a nation cannot be overemphasized. Most
economic managers recognize that a well organized many developing countries;
capital has been a major constraint to economic development.
The Nigerian economic
has over the years been subject to series of social, political and economic
policies and reforms. In the pre-1970 era, the economic was basically agrarian
and food security was largely achieved with the various regional governments
then. The need to encourage private capital in development was realized long
enough, with the establishment of the Nigerian Stock Exchange (NSC), then
called the Lagos Stock Exchange in 1961 to develop the capital market (Alile
& Anao, 1986).
The capital market is
a highly specialized and organized financial market and indeed essential agent
of economic development because of its ability to facilitate and mobilize
savings and investment. The capital market provides the much needed liquidity
making documentary evidence of ownership of securities trade-able (Sule &
Momoh, 2009, p. 67). To a great extent, the positive relationship between
capital accumulation and real economic growth has long been affirmed in
economic theories (Anyanwu, 1996).
Success in capital
accumulation and mobilization for development varies among nations, but it is
largely dependent on domestic savings and inflows of foreign capital.
Therefore, to step-up the current efforts on economic recovery, effort must be
geared toward effective resource mobilization. It is in realization of this
that consideration is given to measure the development of capital market as an
institution for the mobilization of finance from the surplus sector to deficit
potential investable funds abound in Nigeria, but the overriding
consideration on this project will be to examine the role of the capital market
in harnessing and mobilizing these resources to generate economic growth in the
country and consequently, economic development.
Statement of Problem
There is abundant
evidence that most Nigerian businesses lack long-term capital. The business
sector has depended mainly on short-term financing such as overdrafts to
finance even long-term capital. Based on the maturity matching concept, such
financing is risky. All such firms need to raise an appropriate mix of
short-term and long-term capital (Demirguc-Kunt & Levine, 1996, pp.
literatures on the Nigerian capital market have recognized the tremendous
performance the market has recorded in recent times. But the performance of the
capital market, especially the Nigerian Stock Market, was overcast in 2009 by
the global financial and economic crisis with the exorbitant lending rate
mounting pressure on the stock market as a result of massive borrowed fund in
the market. The rush by stock investors to liquidate their investment to repay
their loans in order to avoid the excessive lending rate caused the Nigeria
Stock Market to crash. However, Sere-Ejembi (2008, p.4) argue that it was not
the global financial crisis and the speculative subprime mortgage bubbles
abd-bust along that was responsible for the crash of the stock market, other
contributory factors lent support. Some of these included: margin lending by
the Deposit Money Banks (DMBs), Stock price appreciation that had no
correlation with the fundamentals in the quoting companies and local investors’
opting to invest in foreign capital markets to take advantage of the low stock
However, the vital
role of the capital market in economic growth and development has not been
empirically investigated thereby creating a research gap tool for economic
This research shall
be guided by the following research questions:
How does the
capital market impact on the economic growth process in Nigeria?
What is the
trend activities on the capital market?
What is the
rate at which new stocks are issued on the Nigerian capital market?
How could the
capital market, through its crucial role, stimulate economic growth in Nigeria?
Objective of the Study
The main purpose of
this study is to examine the activities and performance of Nigeria capital market. The
specific objectives of this study are as follows:
the impact of the capital market in relation to the economic growth in Nigeria.
To examine the
trends of having activities on the capital market.
To examine the
rate at which new stocks are issued on the capital market.
To find out
how the capital market through its crucial role stimulate economic growth in Nigeria.
Statement of Hypothesis
The hypothesis that
would be tested in the course of this research is stated below as:
Ho: There is no significance relationship between the
capital market operations and the Nigerian economic growth.
Hi: There is significance relationship between the
capital market operations and the Nigerian economic growth.
Significance of the Study
The study will
explore the impact of effectiveness of capital market instruments on Nigeria
economic growth. Though the scope of the study will be limited to the capital
It is hope
that the exploration of this market will provide a broad view of the operations
of the capital market.
contribute to existing literature on the subject matter by investigating
empirically the role, which the capital market shows in the economic growth and
development of the country.
importance of this study is that it will provide policy recommendations to
policy-makers on ways to improve operations and activities of the capital
Researchers will find the study relevant because it will serve as a spring bond
and contributes to existing literature.
Students will find this research work relevant as it will help them in their
the capital will find this work of importance as it creates the gap that exist
between what is currently in operations and that expected to be in operation.
vii. Investors, stockbrokers and the officials of the
NSE will see this study of relevance to them as it will give an eye opening on
how much a nation stands to gain from effective activities in capital market.
Scope of the Study
The economy us a
large component with lots of diverse and sometimes complex parts. This study
will focus on a particular part of the economy (the financial sector). This
study will not also cover all the facets that make up the financial sector, but
shall focus on the capital market only and its impacts on the Nigeria
economic growth. The empirical investigation of the impact of the capital
market on the economic growth in Nigeria shall be restricted to the
period between 2003 – 2013 due to the non-availability of some important data.
Limitations of Study
In the course of this
research, some problems were encountered which include the following:
of relevant materials as it relates to the subject matter.
study is limited to the NSE if the result is generalized it may not show a true
picture of what is obtainable in other emerging economies due to the
environmental factors peculiar to the Nigerian.
of responses received from respondents as regards the questionnaire is a
Definition of Terms
is the residual right of ownership over the assets of a company. A right that
can be enforces only when everyone else (e.g. creditors) has been paid. It is
specifically the ordinary shares of company.
The Daily Official List: The closing prices of all listed securities as at
the end of each day are normally compiled and published in a daily report
called The Stock Exchange Daily Official List. This list reflects at any
particular time, last price, which was bid for each security irrespective of
the date of such bid.
The Stock Exchange Price Index: The index is an aggregate of the market
capitalization of all the industrial equities listed in the market.
Market Capitalization: This is the total volume of funds, which the stock
market is able to raise and made available for investment purpose at a
Financial Intermediation: This is the process by which financial
intermediaries provide a linkage between surplus units and deficit unit in the
Gilt-Edge Securities: These are government securities that yield
interest. They are generally regarded as low risk investment.