B. O. Isibor

The study examines the ef ect of Government Capital Budgetary Expenditure on Stock Market Performance. The ordinary least squares econometric tool was employed to empirically examine the relationship within 1984-2021. The study found out that Government expenditure on health has a negative significant influence on stock market performance in Nigeria; Government expenditure on education has a positive significant influence on stock market performance in Nigeria; government expenditure on agriculture has a positive but insignificant effect on stock market performance in Nigeria; Government expenditure on defense has a negative insignificant impact on stock market performance in Nigeria. The study recommends that the Government should prioritize accountability and transparency when allocating and carrying out capital budgetary expenditures. There should be sufficient policy coordination between the monetary and fiscal authorities to preserve macroeconomic stability. Communication and cooperation between the public, business, and civil society sectors should be promoted in order to spot investment opportunities, resolve issues, and create an atmosphere that supports strong stock market performance. Lastly, promoting economic and stock market diversification is necessary to lessen reliance on Government spending as the main factor influencing stock market performance. In order to improve resilience and sustainability, this encourages the growth of other industries, including manufacturing, agriculture, and services.