Economic Factors and COVID-19 Pandemic on Investment Value in Government and Corporate Bond: Evidence from Thailand
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This paper investigates the effect of economic factors and pandemic of COVID-19 on investment value in government and corporate bonds in Thailand. We use macro-economic data; outstanding loan borrowing of both public and corporate sectors, bond market indices, total money supply, 10-Year Government bond, inflation rate and manufacturing production index, and COVID-19 dummy variables as independent variables. Using multiple linear regression framework with enter selection for monthly data from January 2013 to October 2020, our results show that outstanding government bond value, manufacturing production index and COVID-19 pandemic have a significant positive effect on the investment in government bond while only outstanding corporate bond value has a significant positive effect on the investment in corporate bond.
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