Financial Structure, Firm Size and Financial Growth of Non-Financial Firms Listed at the Nairobi Securities Exchange

Paper: arXiv 2303.10910

Authors: David Haritone Shikumo, Oluoch Oluoch, Joshua Matanda Wepukhulu

Abstract

A significant number of the non-financial firms listed at the Nairobi Securities Exchange have been experiencing declining financial performance and financial growth, which deter investors from investing in such firms. Hence, the study aimed at establishing the effect of financial structure on the financial growth of non-financial firms listed at the Nairobi Securities Exchange.

Complexity vs Empirical Score

• Math Complexity: 2.5/10
• Empirical Rigor: 5.0/10
• Quadrant: Philosophers — conceptual discussion, limited math and data

Why this score: The paper applies standard econometric panel data methods to analyze capital structure and financial growth in an emerging market (NSE). While methodologically standard with low mathematical complexity, it provides empirical baseline insights for regional corporate finance.

Research Flowchart

  flowchart TD
    A[Research Goal: Assess Financial Structure Effect on Financial Growth of Listed Non-Financial Firms at NSE] --> B[Data Collection: Panel Data from Non-Financial Listed Firms at NSE]
    B --> C[Methodology: Quantitative Research Design & Econometric Modeling]
    C --> D[Data Processing: Panel Regression Analysis & Descriptive Statistics]
    D --> E[Key Finding: Financial Structure Significantly Impacts Financial Growth and Performance]
    E --> F[Outcome: Policy & Strategic Recommendations for Capital Structure Optimization]