IFRS Adoption and Foreign Direct Investment: The Nigerian Experience

Journal: Contemporary Journal of Social Science and Humanities · ISSN 2766-757X
Publisher: Academic Ink Review Journal
Published:
Year: 2020
Volume: 1 · Issue: 1
DOI: 10.5901/mjss.2016.v7n2p99
URL:
PDF: https://pub-64d3441edbbe44ddac4f31a0b9379e70.r2.dev/journal-assets/articles/cjssh/3d296425-8c5f-4141-a29c-e4c86b994f1e.pdf
License: CC BY 4.0

Abstract

This research work examined the impact of IFRS adoption on Foreign direct investment. Using a sample of 12 years, subdivided into pre-adoption and post-adoption period. The observational findings from the charts shows that FDI generally grew consistently in the pre-adoption period while the post-adoption period witnessed a lot of inconsistent rise and fall. We employed a two-sample t-test in testing if there is a significant difference in FDI since the adoption of FDI. Findings revealed there is no significant difference. This contradicts the signaling effect of its adoption on investors. However, chart 3 shows that FDI since the adoption of IFRS has been underperforming.

Keywords: IFRS, Foreign Direct Investment, Economic Growth, Financial Statement Authorship Egiyi, Modesta Amaka PhD 1, Chukwuani, Victoria Nnenna PhD 2

Open access article published under CC BY 4.0 by Academic Ink Review Journal.
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