Effect of firm-specific and macroeconomic conditions on corporate cash holdings: evidence from FMCG companies in India / Reeti Gaur and Rajinder Kaur.

This paper attempts to find out the effects of firm-specific and macroeconomic variables on corporate cash holdings. Panel data regression analysis was applied on the selected FMCG companies in India for the years2001-02 to 2016-17. The analysis showed that FMCG firms in India prefer keeping huge am...

Full description

Bibliographic Details
Main Authors: Gaur, Reeti, Kaur, Rajinder
Format: Article
Language:English
Published: Accounting Research Institute (ARI) and UiTM Press, Universiti Teknologi MARA (UiTM) Shah Alam 2018
Subjects:
Online Access:https://ir.uitm.edu.my/id/eprint/29520/
_version_ 1848807254295314432
author Gaur, Reeti
Kaur, Rajinder
author_facet Gaur, Reeti
Kaur, Rajinder
author_sort Gaur, Reeti
building UiTM Institutional Repository
collection Online Access
description This paper attempts to find out the effects of firm-specific and macroeconomic variables on corporate cash holdings. Panel data regression analysis was applied on the selected FMCG companies in India for the years2001-02 to 2016-17. The analysis showed that FMCG firms in India prefer keeping huge amounts of cash reserves and one of the preferred sources of cash holdings is cash flow. However, large scale and highly levered firms do not have large cash holdings. On the other hand, among the macroeconomic variables economic growth and bank lending rate play a significant role while amaking cash holding decisions. The paper has tried to fill the gap in previous literature that often ignore the role of macroeconomic elements in cash holding decisions.
first_indexed 2025-11-14T22:39:54Z
format Article
id uitm-29520
institution Universiti Teknologi MARA
institution_category Local University
language English
last_indexed 2025-11-14T22:39:54Z
publishDate 2018
publisher Accounting Research Institute (ARI) and UiTM Press, Universiti Teknologi MARA (UiTM) Shah Alam
recordtype eprints
repository_type Digital Repository
spelling uitm-295202020-04-07T04:44:45Z https://ir.uitm.edu.my/id/eprint/29520/ Effect of firm-specific and macroeconomic conditions on corporate cash holdings: evidence from FMCG companies in India / Reeti Gaur and Rajinder Kaur. apmaj Gaur, Reeti Kaur, Rajinder Macroeconomics This paper attempts to find out the effects of firm-specific and macroeconomic variables on corporate cash holdings. Panel data regression analysis was applied on the selected FMCG companies in India for the years2001-02 to 2016-17. The analysis showed that FMCG firms in India prefer keeping huge amounts of cash reserves and one of the preferred sources of cash holdings is cash flow. However, large scale and highly levered firms do not have large cash holdings. On the other hand, among the macroeconomic variables economic growth and bank lending rate play a significant role while amaking cash holding decisions. The paper has tried to fill the gap in previous literature that often ignore the role of macroeconomic elements in cash holding decisions. Accounting Research Institute (ARI) and UiTM Press, Universiti Teknologi MARA (UiTM) Shah Alam 2018-12 Article PeerReviewed text en https://ir.uitm.edu.my/id/eprint/29520/1/29520.pdf Gaur, Reeti and Kaur, Rajinder (2018) Effect of firm-specific and macroeconomic conditions on corporate cash holdings: evidence from FMCG companies in India / Reeti Gaur and Rajinder Kaur. (2018) Asia-Pacific Management Accounting Journal (APMAJ) <https://ir.uitm.edu.my/view/publication/Asia-Pacific_Management_Accounting_Journal_=28APMAJ=29.html>, 13 (3). pp. 55-77. ISSN 2550-1631 https://apmaj.uitm.edu.my/
spellingShingle Macroeconomics
Gaur, Reeti
Kaur, Rajinder
Effect of firm-specific and macroeconomic conditions on corporate cash holdings: evidence from FMCG companies in India / Reeti Gaur and Rajinder Kaur.
title Effect of firm-specific and macroeconomic conditions on corporate cash holdings: evidence from FMCG companies in India / Reeti Gaur and Rajinder Kaur.
title_full Effect of firm-specific and macroeconomic conditions on corporate cash holdings: evidence from FMCG companies in India / Reeti Gaur and Rajinder Kaur.
title_fullStr Effect of firm-specific and macroeconomic conditions on corporate cash holdings: evidence from FMCG companies in India / Reeti Gaur and Rajinder Kaur.
title_full_unstemmed Effect of firm-specific and macroeconomic conditions on corporate cash holdings: evidence from FMCG companies in India / Reeti Gaur and Rajinder Kaur.
title_short Effect of firm-specific and macroeconomic conditions on corporate cash holdings: evidence from FMCG companies in India / Reeti Gaur and Rajinder Kaur.
title_sort effect of firm-specific and macroeconomic conditions on corporate cash holdings: evidence from fmcg companies in india / reeti gaur and rajinder kaur.
topic Macroeconomics
url https://ir.uitm.edu.my/id/eprint/29520/
https://ir.uitm.edu.my/id/eprint/29520/