American Journal of Finance 2023-09-29T00:31:22+03:00 Journal Admin Open Journal Systems <p>The American Journal of Finance is a respected journal that publishes high-quality research in finance and related fields. It is a platform for scholars, practitioners, and policymakers to share their ideas and insights on the latest issues and challenges in the financial sector. The journal covers a wide range of topics, such as corporate finance, asset pricing, financial markets, banking, risk management, financial regulation, behavioral finance, and more. The journal has a rigorous and relevant peer review process that takes about 2-3 months. The journal has an eminent editorial board that consists of experts and scholars from different countries and institutions. The journal is indexed by several reputable platforms that increase its visibility and accessibility. The journal provides DOI numbers for each article to facilitate citation and tracking. The journal is an open access journal, which means that all articles are free to access online. The journal does not charge any fees for submission, processing, or publication of articles. All authors keep the copyright of their articles and grant the journal a non-exclusive license to publish them.The journal is published monthly by AJPO Journals USA LLC, a leading publisher of academic journals in various fields. </p> Effect of Month End Close Practices on the Financial Performance of International Non-Governmental Organizations in Rwanda (2020-2021) 2023-09-29T00:31:22+03:00 Ndabananiye Gamariela Mutabazi Placide Nyiramayira Juliennec Nsengiyera Danield Nizeyimana Fidelee <p><strong>Purpose:</strong> Month-End Close Practices are tasks performed by finance department every month (or accounting period) prior to and following the closedown of the relevant books of accounts. It is good practice to closedown financial systems for each accounting period to allow the institution to compile its management accounts (e.g. showing the actual expenditure versus budget) to assess its financial position. Therefore, month-end procedures involves running reports to check transactions and balances, as well as preparing management accounts to assess the financial position of the organization. This study focused on the evaluation on Month-End Close Practices on the Financial Performance of International Non-Governmental Organizations in Rwanda.&nbsp; It aimed to &nbsp;finding out&nbsp; whether&nbsp; the&nbsp; Month-End Close Practices were&nbsp; effective&nbsp; and&nbsp; whether&nbsp; they&nbsp; really&nbsp; have&nbsp; effect&nbsp; on Financial Performance of International Non-Governmental Organizations in Rwanda especially in the selected NGOs over the period of 2020-2021.&nbsp;</p> <p><strong>Methodology:</strong> The design of this study was a quantitative and qualitative descriptive in nature. The study enrolled 20 respondents senior finance staff from the selected NGOs. Quantitative data were collected using data collection sheet while qualitative data were collected using interviews, focus groups and observation. Quantitative data were analyzed using statistical package for social sciences (SPSS) version 20 and qualitative data were to look for emerging themes then further distilled to identify any abstract themes that could be understood holistically.</p> <p><strong>Findings:</strong> The study findings revealed that Month-End Close Practices have a significant effect on the Performance of International Non-Governmental Organizations. The study found a strong positive correlation between moth end practices and financial performance.</p> <p><strong>Recommendation:</strong> International Non-government organizations (NGOs) should maintain internal control system and policies related to the month-end close practices as it showed the high standard of compliance and financial performance. &nbsp;</p> <p>&nbsp;</p> 2023-09-29T00:00:00+03:00 Copyright (c) 2023 Ndabananiye Gamariela, Mutabazi Placide, Nyiramayira Juliennec, Nsengiyera Danield, Nizeyimana Fidelee Implications of Informal Money Transfer Systems on Kenya’s Financial Sector 2023-07-01T14:14:49+03:00 Feven Ecubay Aitaa Kilimvi <p><strong>Purpose:</strong> In Kenya, the informal money transfer system is widely used by its citizens, allowing them to make quick and easy payments across long distances. This system has bridged the gap between those with limited access to formal banking services, allowing them to make transactions without relying on a formal banking institution. While there are numerous benefits to using this type of system, it can also present potential risks to the economy and financial sector in general. This paper examines the implications of the informal money transfer system in Kenya, focusing primarily on its effects on financial sector development, financial inclusion, and risk management practices.</p> <p><strong>Methodology:</strong> A qualitative research approach was adopted for this study to understand the complexities and nuances involved in this type of financial transaction. Secondary data was obtained from surveys conducted by government agencies such as the Central Bank of Kenya (CBK). Other sources included reports on informal money transfers such as web-based searches on informal money transfer services, and databases used by banks and other government departments related to finances. Legal and regulatory frameworks that influence the use and activities of informal money transfer systems in Kenya were also be included.</p> <p><strong>Findings: </strong>The findings showed that informal money transfer systems provided much-needed access to finance for many individuals excluded from formal banking services, leading to increased economic development opportunities. The findings further uncovered that the drivers of informal money transfers include low-income levels, traditional banks limited geographic reach, limited capital, and a lack of trust in formal banking institutions. As such, informal money transfers aided the velocity of efficient and cheaper cross-borders and cross-regions remittances. It was however demonstrated that although informal money transfers bring benefits to their users, it also carries considerable risks.</p> <p><strong>Recommendations:</strong> It is recommended that the current regulatory framework governing informal money transfers needs to be updated to protect consumers from fraud and theft while still allowing them to access the necessary financial resources for their economic endeavours.</p> <p>&nbsp;</p> 2023-07-01T00:00:00+03:00 Copyright (c) 2023 Feven Ecubay, Aitaa Sam Kilimvi Influence of Central Bank of Nigeria Digital Currency on Financial Inclusion of Lecturers and Students of the Three Public Colleges of Education in Kano State 2023-08-22T02:33:44+03:00 Okoliko Sunday Attah James <p><strong>Purpose:</strong> The study aimed to investigate the influence of the Central Bank Digital Currency (CBDC) e-Naira policy on financial inclusion, with a specific focus on its impact on the access and usage of financial services among lecturers and students in Colleges of Education in Kano State.<br><strong>Methodology:</strong> The study adopted a descriptive survey method, and a sample size of 279 was selected using simple random sampling techniques from a population of 989 individuals. The participants were drawn from three public Colleges of Education in Kano State. Data were collected through a 4-point Likert scale questionnaire, and the analysis was done using the mean and standard deviation with the support of SPSS.</p> <p><strong>Findings:</strong> The study's findings revealed that the CBDC (e-Naira) policy does not significantly influence the access to financial services for lecturers and students in Colleges of Education in Kano State. Additionally, the results indicated that the policy does not have a significant impact on the usage of financial services by this group.</p> <p><strong>Unique contribution to Theory, Practice, and Policy: </strong>The study's unique contribution lies in the discovery that the CBDC (e-Naira) policy has no significant influence on the access and usage of financial services among lecturers and students in Colleges of Education in Kano State. Based on these findings, the researchers recommend an aggressive awareness campaign be conducted by service providers, policymakers, and other stakeholders.</p> 2023-08-22T00:00:00+03:00 Copyright (c) 2023 Okoliko Sunday, Attah James A Review of the Role of Risk Management in Online Transactions: The Growing Issues of Network and System Security among Zambia’s Financial Institutions 2023-06-23T13:23:00+03:00 Gerry Siampondo Mbuyu Sumbwanyambe <h1>Abstract</h1> <p><strong>Purpose:</strong> The present study offers an all-encompassing analysis of the significance of risk management in the context of online transactions, with a particular emphasis on the escalating concerns regarding network and system security within the financial institutions of Zambia.</p> <p><strong>Methodology:</strong> The research utilized a mixed-methods design, integrating an extensive review of relevant literature with an examination of primary data obtained through interviews with significant stakeholders.</p> <p><strong>Findings:</strong> The results underscore the significance of proficient risk management tactics in alleviating the susceptibilities linked with internet-based transactions, specifically within the financial industry of Zambia. This discourse delves into monetary establishments' obstacles in securing their networks and systems and the possible consequences of insufficient risk management methodologies.</p> <p><strong>Unique Contribution to Theory, Practice and Policy: </strong>The paper draws conclusions from the findings and suggests recommendations to improve risk management frameworks and bolster network and system security in online transactions in the financial sector of Zambia. The study was validated using a mixed-methods design, combining a comprehensive literature review with primary data obtained through interviews with significant stakeholders. This approach allowed the researchers to gather insights from existing knowledge and perspectives from relevant individuals involved in the financial institutions of Zambia. The exponential expansion of digital commerce has presented many obstacles for financial establishments operating in Zambia. One of contemporary society's foremost challenges is the increasingly salient problem of network and system security. It is because online transactions are frequently more susceptible to cyber threats than conventional offline transactions. Consequently, it is imperative for financial institutions operating in Zambia to undertake measures to enhance their risk management strategies to safeguard their clients and commercial operations. The effective management of risks associated with online transactions is a critical concern for financial institutions in Zambia. Robust network and system security measures are essential to mitigate potential threats and vulnerabilities.</p> <p>&nbsp;</p> 2023-06-23T00:00:00+03:00 Copyright (c) 2023 Gerry Mutibo Siampondo, Professor Mbuyu Sumbwanyambe