International Journal of Financial Management https://i-scholar.in/index.php/ijfm <div id="i-scholarabout">The International Journal of Financial Management” tends to bring about a revolution in the financial research through its unparalleled quality, undaunted approach and panoptic coverage of the research efforts being undertaken all around the globe. The journal intends to provide the super ordinate podium to the researchers to share their findings with the global community after having crossed the quality checks and legitimacy criteria, which in no way promise to be liberal.</div> en-US publishing@publishingindia.com (Dr. Balwinder Singh) info@publishingindia.com (Manager, Publishing India Group) Tue, 06 Sep 2022 15:23:03 +0000 OJS 2.4.2.0 http://blogs.law.harvard.edu/tech/rss 60 Assessment of Potential Equity Investors and Stock Marketing Strategies: An Empirical Study in the Case of Ethiopia https://i-scholar.in/index.php/ijfm/article/view/214812 A stock market, equity market, or share market is the aggregation of buyers and sellers of stocks, which represent ownership claims on businesses; these may include securities listed on a public stock. Though several studies, by different individuals and institutions, to assess the rationale behind establishing stock has been undertaken on the exchange market in Ethiopia, no one has examined how corporations should finance their assets in the absence of efficient capital markets. Thus, the objective of the study was to assess potential equity investors, and thereby develop marketing strategies for share companies’ equity instruments in Ethiopia. The finding shows that the potential equity investors in Ethiopia could be ranked as financial institutions, diasporas and institutional investors, respectively. Accordingly, the marketing strategies that firms should employ include approaching the potential investors physically, advertising using different mass-media and Internet, and participating in national and international business forums. Dakito Alemu Kesto https://i-scholar.in/index.php/ijfm/article/view/214812 Thu, 30 Jun 2022 00:00:00 +0000 Credit Risk Management and Financial Performance of Indian Commercial Banks: A Study https://i-scholar.in/index.php/ijfm/article/view/214827 Credit risk is a major risk to commercial banks and financial institutions. Credit risk of financial institutions is inherent with the nature of the business, and should be managed well for their survival. The present study examines the role of credit risk management and its impact on the financial performance of commercial banks in India. For the study, secondary financial data are collected from published annual reports of 20 commercial banks, consisting of 12 public sector commercial banks and eight private sector commercial banks, covering six years, from 2013-14 to 2018-19. Risk of commercial banks is measured through non-performing loan ratio, capital adequacy ratio, loan loss provision ratio, cost per loan ratio, and leverages of sample banks. Financial performance of banks is measured through three alternative measures of profitability, namely return on assets, return on equity, and net interest margin. Pooled data are used for panel regression analysis. Empirical study results revealed mixed and varied indication about credit risk management and its influence on the financial performance of commercial banks. The study results indicate that profitability of the banks is falling due to increasing NPAs. However, the capital adequacy ratio enhances the profitability of public sector banks more than the private sector commercial banks. Krishnendu Ghosh, Amitava Mondal https://i-scholar.in/index.php/ijfm/article/view/214827 Thu, 30 Jun 2022 00:00:00 +0000 Microfinance Outreach and its Linkages to Human Development: Evidences from South Asia with Special Reference to India https://i-scholar.in/index.php/ijfm/article/view/214829 The progress of microfinance outreach can be seen as an effective intervention mechanism to enlarge people’s choice, with respect to some basic indicators of human development. The most important choices are considered to be a long and healthy life, to be educated, and to enjoy a decent standard of living. Under the circumstances, attempts have been made in this paper to examine the cross-country variations in outreach of microfinance sector and that of human development in South Asia, and to establish the empirical relationship between them. In addition, the relationship between microfinance outreach and human development across Indian states is of special interest in this paper. Substantial evidence presented in this paper cast doubt on the empirical association between microfinance outreach and human development, especially after the ‘microfinance meltdown’ in 2008 in South-Asian countries as a whole, and the Indian economy in particular. Therefore, microfinance is not a panacea for achieving human development, rather these semi-formal microfinance institutions can only be a means to promote financial inclusion in low financially inclusive regions which are characterised by the limited presence of formal financial institutions. Arindam Laha https://i-scholar.in/index.php/ijfm/article/view/214829 Thu, 30 Jun 2022 00:00:00 +0000 Impact of Growth in the Indian Economy and Financial Markets on M&A Deals during the Last Decade https://i-scholar.in/index.php/ijfm/article/view/214832 The research aims to evaluate the impact of economic and financial markets’ growth on mergers and acquisitions (M&amp;As) during the last decade in India, i.e., from Q-1 of the calendar year 2011 until Q-1 of the calendar year 2021. In recent years, the M&amp;A space has witnessed considerable activity, owing to economic reforms and preference of M&amp;A route by promoters of Indian companies for expansion or bail-out. External data (secondary research) with respect to the growth of financial markets, economy and M&amp;A deals in India has been collected from Bloomberg, IMAA, and NSE. Statistical tools, like the t-test will be used to analyse the impact of independent variables (growth of financial markets and economy) on the dependent variable, viz. M&amp;A deals, over the last decade. Results of the study are expected to validate the positive correlation between economy/financial markets and M&amp;A deals. The results would also help in developing a better understanding of the M&amp;A scenario in India, and how certain changes in the economic and market environment influence it. The paper attempts to determine the degree of impact of GDP growth and financial markets on M&amp;A deals. It would also seek to organise the theoretical context clearly, recognising any new patterns, while essentially being based on the existing important academic theories. Ayush Pandita, Sunit Joshi, Dipasha Sharma https://i-scholar.in/index.php/ijfm/article/view/214832 Thu, 30 Jun 2022 00:00:00 +0000 External Debt and Economic Growth in India: Error Correction Model Estimation of the Causal Relationship https://i-scholar.in/index.php/ijfm/article/view/214834 External debt is essential for economic growth; however, high levels of public debt adversely affect growth via debt overhang, crowding-out of domestic private investment, and constraining countercyclical fiscal policy. This paper estimates the causal relationship between external public debt and economic growth in India, along with other macroeconomic variables, using annual time series data for 41 years, from 1980 to 2020, and applying the error correction mechanism estimation method. The debt burden is segmented into two parts – external debt stock and external debt service – and are measured as the percentage share to external debt to GDP and percentage share of total external debt service to total foreign exchange earnings, respectively. The estimated results show a significant positive impact of external debt stock on economic growth in the long run. There is no evidence of a debt overhang problem, but evidence of external debt service potentially affects growth by crowding out private investment. The effect of debt stock is less noteworthy, as the negative effect of debt service exceeds the positive debt stock effect. The adverse effect of debt service, both in the long and short run, is significant. The short-run disequilibrium is corrected at a reasonably good speed, providing the sanguinity of the external public debt in India. T. Lakshmanasamy https://i-scholar.in/index.php/ijfm/article/view/214834 Thu, 30 Jun 2022 00:00:00 +0000