Testing Weak Form Of Efficiency: Evidence From Selected African Stock Markets

Résumé: This study aims to test a weak-form efficiency of selected financial markets over the period of 2023-2024. Sample study consists of financial market indices for a number of African markets. The African countries concerned in this study are Algeria, Ghana, Morocco, Nigeria, Tunisia and BRVM (a regional market for eight 8 African countries). Applying variance ratio test, runs test and autocorrelation test to assess whether stock prices follow a random walk, we revealed that only two financial markets, namely, Morocco and BRVM, exhibit a weak-form efficiency. The other markets are inefficient based on the results of three tests. This study is one of the first to include the Algiers Stock Exchange in the sample.

Publié dans la revue: دراسات اقتصادية