IMPACT : International Journal of Research in Business Management

13-28

Authors: Oladejo Morufu. O & Alade Babatope. J

Evidence from the literature of accounting and finance revealed that the adverse impact of declining global oil prices on the Nigerian economy is pushing state governments to adopt approaches that would increase the internally generated revenue (IGR) to enable them survive the difficult times. The study appraises the influence of internally generated revenue on the revenue profile of South Western State governments of Nigeria and how this has impacted on capital expenditure of South Western Sates of Nigeria amongst others, for the period of ten years (2006 – 2015). The research designs adopted were expo facto and descriptive research of a survey type. Three states (Osun, Ondo and Ekiti) were selected from the six southwestern states, to form the sample for the study. The purposive sampling of selected states was based on the availability of relevant data and peculiar revenue characteristics of the three states. Data were collected from secondary sources where specific variables such as State IGRs and revenue profile/total revenue and capital expenditure were extracted from the financial statements of the selected states collected from State Government’s Accountant General offices for the period of ten years (2006-2015).Findings from the study showed that there was a significant difference between the major components of IGR of the sampled States except taxes. The result of the study further revealed that there was a significant positive correlation between internally generated revenue and revenue profile of Ekiti State (P-value 0.641), Osun State (P-value 0.925) and Ondo State (P-value of 0.559). The study further showed that, the IGR had no significant influence on capital expenditure of Ekiti and Ondo State with P-value of 0.158 and 0.510, respectively. However, there was a significant influence of Osun State IGR on capital expenditure with the P-value of 0.045.It is therefore recommended that the various components of IGR must be fully harnessed to defray the capital expenditure of the south western state governments to mitigate the effect of dwindling allocation from the Federation account.

81-94

Authors: GERALD MUNYORO, FREDDY CHIMBARI & FANUEL TINASHE CHIRIMBA

The main objective of this study was to establish the impact of indigenous banks to the Zimbabwean economy since their introduction to-date Indigenous banks are just like any other financial institutions and they act as financial intermediaries who channel funds from those who have excess money for investing at an interest to those who want to borrow at an interest, thereby creating a lender borrower relationship. Indigenous banks also provide financial services that reduce the cost of moving funds between borrowers and lenders, leading to a more efficient allocation of resources and also faster economic growth among other roles. Consequently, phenomenology and a case study were used in this study and the sample was employed to select purposive sampling techniques. The data collected from the respondents was analyzed using qualitative methods and secondary data was also obtained from journals, reports and also from relevant publications. The research findings showed that indigenous banks have a negative impact to the Zimbabwean economy as they are closing down in their masses resulting in thousands of people losing their jobs and also their cash deposits. The closure of these indigenous banks has been blamed on weak supervisory just to name a few. Additionally, the closure of indigenous banks has resulted in failure to help entrepreneurs in different industrial sectors to gain access to capital which resulted in the negative growth of the Zimbabwean economy. The study recommends that all indigenous banks should have a strong lending policy and they should also refrain from abusing people’s money as a result of unprofessional conduct.