International Financial Reporting Standard (IFRS) Adoption and Foreign Direct Investments (FDI): A Comparative Analysis of Nigeria and Ghana

Main Article Content

A. T. Ajibade
W. Okere
M. A. Isiaka
O. Mabinuori

Abstract

This study examined the relationship between IFRS adoption and FDI in Nigeria and Ghana. Using ordinary least square as well as other diagnostic test, findings show a negative but insignificant relationship between IFRS adoption and FDI in Nigeria. Also, it was discovered that IFRS adoption has a positive and significant relationship in Ghana. Findings also show that IFRS adoption alone would not lead to FDI inflows and FDI is affected by other factors such as exchange rate, inflation and political instability. The study recommends that Effective execution of IFRS requires strategic planning and IFRS ought to be linked to an objective for it to have a beneficial outcome.

Keywords:
IFRS, foreign direct investment, economy, harmonization, convergence

Article Details

How to Cite
Ajibade, A. T., Okere, W., Isiaka, M. A., & Mabinuori, O. (2019). International Financial Reporting Standard (IFRS) Adoption and Foreign Direct Investments (FDI): A Comparative Analysis of Nigeria and Ghana. Asian Journal of Economics, Business and Accounting, 11(2), 1-10. https://doi.org/10.9734/ajeba/2019/v11i230122
Section
Original Research Article

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