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Role of the Nigeria stock exchange on capital formation

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Abstract

This study was carried out to determine the effect of the stock market on capital formation in Nigeria. Almost all the economist laid emphasis on capital formation as the major determinant of economic growth. The meaning of capital formation is that society does of consumption, but directs some part of it to the creation of capital goods, tools and instrument, machines and transport. Facilities, plants, and equipment all the various forms of real capital that can so greatly increase the efficiency of productive effort. Based on the findings the following recommendations were made. The total liberalization of the financial sector and the encouragement of Nigerians to take advantage of the stock exchange.

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