FINANCIAL INTERMEDIATION MODELLING FOR ECONOMIC DEVELOPMENT IN NIGERIA: INSIGHT FROM ARDL

Raymond Adegboyega

doi:10.17261/Pressacademia.2025.2006

FINANCIAL INTERMEDIATION MODELLING FOR ECONOMIC DEVELOPMENT IN NIGERIA: INSIGHT FROM ARDL

Abstract

Purpose- The shallowness of Nigeria’s financial system hinders the financial intermediation process. Thereby impeding economic development. This observation provides the rationale for an examination of the impact of financial intermediation on economic development in Nigeria. Methodology- The study utilized data spanning from 1981 to 2023, sourced from the Central Bank of Nigeria (CBN) statistical bulletin and World Bank Data base, and employed the Autoregressive Distributed Lag (ARDL) method of analysis. Findings- The overall results show that both the short and long-run relationships exist between financial intermediation and economic development in Nigeria. The coefficient of ECM of -3.855712 which is 1% significance level, indicating a strong relationship between financial intermediation and economic development. Also, this very high speed of adjustment indicates that 385.57% adjustment back each year to long-run equilibrium after a shock in the short-run. Conclusion- The study concluded that for proper development of financial system that can promote effective financial intermediation, it is necessary to encourage higher levels of savings and investment, which will, in turn, enhance the efficiency of capital accumulation. Among its recommendations, the study highlighted the need to improve and extend credit facilities to the private sector of the economy.

Keywords

References

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Details

Primary Language

English

Subjects

Finance

Journal Section

Research Article

Authors

Raymond Adegboyega This is me
0000-0002-8067-3410
United States

Publication Date

December 31, 2025

Submission Date

October 12, 2025

Acceptance Date

December 19, 2025

Published in Issue

Year 2025 Volume: 12 Number: 2

DOI

https://doi.org/10.17261/Pressacademia.2025.2006

IZ

https://izlik.org/JA25NC54LJ

Cite

RIS / Bibtex

APA

Adegboyega, R. (2025). FINANCIAL INTERMEDIATION MODELLING FOR ECONOMIC DEVELOPMENT IN NIGERIA: INSIGHT FROM ARDL. Journal of Economics Finance and Accounting, 12(2), 133-145. https://doi.org/10.17261/Pressacademia.2025.2006

AMA

1.Adegboyega R. FINANCIAL INTERMEDIATION MODELLING FOR ECONOMIC DEVELOPMENT IN NIGERIA: INSIGHT FROM ARDL. JEFA. 2025;12(2):133-145. doi:10.17261/Pressacademia.2025.2006

Chicago

Adegboyega, Raymond. 2025. “FINANCIAL INTERMEDIATION MODELLING FOR ECONOMIC DEVELOPMENT IN NIGERIA: INSIGHT FROM ARDL”. Journal of Economics Finance and Accounting 12 (2): 133-45. https://doi.org/10.17261/Pressacademia.2025.2006.

EndNote

Adegboyega R (December 1, 2025) FINANCIAL INTERMEDIATION MODELLING FOR ECONOMIC DEVELOPMENT IN NIGERIA: INSIGHT FROM ARDL. Journal of Economics Finance and Accounting 12 2 133–145.

IEEE

[1]R. Adegboyega, “FINANCIAL INTERMEDIATION MODELLING FOR ECONOMIC DEVELOPMENT IN NIGERIA: INSIGHT FROM ARDL”, JEFA, vol. 12, no. 2, pp. 133–145, Dec. 2025, doi: 10.17261/Pressacademia.2025.2006.

ISNAD

Adegboyega, Raymond. “FINANCIAL INTERMEDIATION MODELLING FOR ECONOMIC DEVELOPMENT IN NIGERIA: INSIGHT FROM ARDL”. Journal of Economics Finance and Accounting 12/2 (December 1, 2025): 133-145. https://doi.org/10.17261/Pressacademia.2025.2006.

JAMA

1.Adegboyega R. FINANCIAL INTERMEDIATION MODELLING FOR ECONOMIC DEVELOPMENT IN NIGERIA: INSIGHT FROM ARDL. JEFA. 2025;12:133–145.

MLA

Adegboyega, Raymond. “FINANCIAL INTERMEDIATION MODELLING FOR ECONOMIC DEVELOPMENT IN NIGERIA: INSIGHT FROM ARDL”. Journal of Economics Finance and Accounting, vol. 12, no. 2, Dec. 2025, pp. 133-45, doi:10.17261/Pressacademia.2025.2006.

Vancouver

1.Raymond Adegboyega. FINANCIAL INTERMEDIATION MODELLING FOR ECONOMIC DEVELOPMENT IN NIGERIA: INSIGHT FROM ARDL. JEFA. 2025 Dec. 1;12(2):133-45. doi:10.17261/Pressacademia.2025.2006