TY - JFULL AU - Sunday E. Ogundipe and Rafiu O. Salawu and Lawrencia O. Ogundipe PY - 2012/2/ TI - The Determinants of Corporate Cash Holdings in Nigeria: Evidence from General Method of Moments (GMM) T2 - International Journal of Economics and Management Engineering SP - 151 EP - 158 VL - 6 SN - 1307-6892 UR - https://publications.waset.org/pdf/4420 PU - World Academy of Science, Engineering and Technology NX - Open Science Index 61, 2012 N2 - The study examines the determinants of corporate cash holding of non-financial quoted firms in Nigeria using a sample of fifty four non-financial quoted firms listed on the Nigeria Stock Exchange for the period 1995-2009. Data were sourced from the Annual reports of the sampled firms and analyzed using Generalized Method of Moments(GMM). The study finds evidence supportive of a target adjustment model and that firms can not instantaneously adjust towards the target cash level owing to the fact that adjustment cost being costly,. Also, the result shows significant negative relationship between cash holdings and firm size, net working capital, return on asset and bank relationship and positive relationship with growth opportunities, leverage, inventories, account receivables and financial distress. Furthermore, there is no significant relationship between cash holdings and cash flow. In Nigerian setting, most of the variables that are relevant for explaining cash holdings in the Developed countries are found by this study to be relevant also in Nigeria. ER -