Determinants of macroeconomic variables on islamic stock index: evidence from frontier market / Noor Hafizha Muhamad Yusuf …[et al.]

Muhamad Yusuf, Noor Hafizha and Muhamad Hilmi, Natasha Aliana and Mohd Abdoh, Wan Mohd Yaseer and Shekh Zain, Rozihanim and Badri Shah, Noor Sharida (2020) Determinants of macroeconomic variables on islamic stock index: evidence from frontier market / Noor Hafizha Muhamad Yusuf …[et al.]. Journal of International Business, Economics and Entrepreneurship, 5 (1). pp. 23-29. ISSN 2550-1429

Download

[thumbnail of 34884.pdf] Text
34884.pdf

Download (2MB)

Abstract

This paper provides useful insights on the determinants of macroeconomic variables on Islamic stock index evidence from frontier market. The aims of this study is to examine the effect of macroeconomic variables namely gross domestic product (GDP), inflation (consumer price index), exchange rate (USD exchange rate), oil price (crude palm oil) and money supply (M2) on frontier market Islamic index (FMII). This study employs Fixed Effect (FE) model of 17 countries listed under FMII. The study cover a ten (10) years period from 2008 until 2017. The study have shown significant relationship between inflation, money supply and exchange rate with FMII and managed to reject null hypotheses for the three variables. Inflation and exchange rate is negatively related with FMII while money supply, gross domestic product and oil price is positively related to FMII. However, the study fails to find any significant relationship between gross domestic product and oil price with FMII. The findings of this study will provide better understanding on the frontier market and helps to improve their performance. Therefore, it can encourage countries in frontier market to be able to compete and achieve similar advancement as countries in developed and emerging market did.

Metadata

Item Type: Article
Creators:
Creators
Email
Muhamad Yusuf, Noor Hafizha
hafizha853@uitm.edu.my
Muhamad Hilmi, Natasha Aliana
UNSPECIFIED
Mohd Abdoh, Wan Mohd Yaseer
UNSPECIFIED
Shekh Zain, Rozihanim
UNSPECIFIED
Badri Shah, Noor Sharida
UNSPECIFIED
Subjects: H Social Sciences > HB Economic Theory. Demography > Macroeconomics
Divisions: Universiti Teknologi MARA, Perlis > Arau Campus > Faculty of Business and Management
Journal or Publication Title: Journal of International Business, Economics and Entrepreneurship
UiTM Journal Collections: UiTM Journal > Journal of International Business, Economics and Entrepreneurship (JIBE)
ISSN: 2550-1429
Volume: 5
Number: 1
Page Range: pp. 23-29
Official URL: https://jibe.uitm.edu.my/index.php/en/june-2020
Item ID: 34884
Uncontrolled Keywords: Macroeconomic Variables, Frontier Market Islamic Index, Growth Domestic Product
URI: https://ir.uitm.edu.my/id/eprint/34884

ID Number

34884

Indexing


View in Google Scholar

Edit Item
Edit Item