scholarly journals Financial development, poverty, and human development in the Fintech age: a regional analysis of the Southeast Asian states

2021 ◽  
Vol 1 ◽  
pp. 118
Author(s):  
Dina Chhorn
Keyword(s):  
Human Development ◽  
Financial Development ◽  
Positive Impact ◽  
Statistical Tests ◽  
Regional Analysis ◽  
Institutional Development ◽  
Southeast Asian ◽  
Mobile Money ◽  
Domestic Credit

This paper examines the effect of financial development in the Fintech age, measured by broad money, domestic credit, and mobile money, on poverty and human development in the Southeast Asian economies. Using unbalanced longitudinal dataset (1990-2017), the findings suggest that broad money and domestic credit contribute to poverty reduction and promote human development. The role of mobile money is seen to have a statistically positive impact only if we analyse it with human development. Additionally, when we take a closer look at the different stage of economic, political and institutional development in this region, we found that the positive effect of broad money and domestic credit is mostly found only in the less developed and less democratic countries. The mobile money, on the other hand, is found to statistically promote the human development in both groups of countries, but there is no statistical relationship for poverty analysis. To avoid the endogeneity bias driven by the fact that the variables in the analysis are not exogenous, the paper uses the instrumental variables and two-stage least squares for panel-data estimations, taking from the economic literature on the role of financial development in developing countries. In doing so, along with additional statistical tests of subsample analysis of political and institutional factors and higher- and lower-income countries, the results confirm the robustness in the analysis.

Financial development and agricultural performance in Nigeria: what role do institutions play?

2019 ◽  
Vol 80 (2) ◽  
pp. 231-254 ◽  
Author(s):  
Isiaka Akande Raifu ◽  
Alarudeen Aminu
Keyword(s):  
Financial Development ◽  
Agricultural Sector ◽  
Institutional Environment ◽  
Positive Impact ◽  
Principal Component ◽  
Annual Data ◽  
Institutional Variables ◽  
Content Type ◽  
Agricultural Performance

Purpose The centrality of agricultural sector to the economy, particularly in developing countries, has drawn the attention of researchers to critically examine different factors determining the performance of the sector. Given that massive investment is required to ensure maximum productivity in the sector, one of the factors identified is the issue of financing. However, financing agricultural sector in a poor institutional environment can be depressing. In the light of this, the purpose of this paper is to examine the nexus between financial development and agricultural performance in Nigeria with a view to investigating the role of institutions. Design/methodology/approach The study employed annual data spanning the period from 1981 to 2016. Three indicators of financial development and five institutional variables were used. Besides, for robust analysis, the study also computed an aggregate measure of financial development and institutions using principal component method. Autoregressive distributed lag method of estimation was used to examine the short-run and long-run effects of financial development on agricultural performance in Nigeria. Findings The findings showed that financial development has a positive impact on agricultural performance in Nigeria. However, this positive impact is being undermined by institutional variables. Originality/value To the best of the authors’ knowledge, this is the only study that examines the mediating role of institutional factors such as the rule of law, control of corruption, etc., in the financial development–agricultural performance nexus in Nigeria.

FINANCIAL INCLUSION, INSTITUTIONAL QUALITY AND FINANCIAL DEVELOPMENT: EMPIRICAL EVIDENCE FROM OIC COUNTRIES

2021 ◽  
pp. 1-28
Author(s):  
MINHAJ ALI ◽  
MUHAMMAD IMRAN NAZIR ◽  
SHUJAHAT HAIDER HASHMI ◽  
WAJEEH ULLAH
Keyword(s):  
Financial Development ◽  
Method Of Moments ◽  
Positive Impact ◽  
Generalized Method Of Moments ◽  
Institutional Quality ◽  
Financial Inclusion ◽  
Moderation Effect ◽  
The Relationship ◽  
Unique Study

This unique study examines the moderation effect of institutional quality (IQ) on the relationship between financial inclusion (FI) and financial development (FD) of 45 Organization of Islamic Cooperation (OIC) countries. For empirical analysis, panel data are used for the period 2000–2016. We use the Arellano–Bond generalized method of moments (GMM) and two-stage least-squares (2SLS) method in our estimations to draw multidimensional results. The empirical results confirm the significant positive relationship between FI, IQ and FD. Interestingly, we find that IQ moderates FI and has a significant positive impact on FD. Our findings are robust to alternative econometric specifications of FI, IQ and FD. Therefore, policymakers must sensibly understand the pivotal role of FI and IQ in establishing sustainable future development of OIC countries.

scholarly journals Financial Development and Manufacturing Performance: The Nigerian Case

2018 ◽  
Vol 13 (1) ◽  
pp. 97-111 ◽  
Author(s):  
Ekundayo Mesagan ◽  
Ndubuisi Olunkwa ◽  
Ismaila Yusuf
Keyword(s):  
Private Sector ◽  
Money Supply ◽  
Financial Development ◽  
Positive Impact ◽  
Manufacturing Sector ◽  
Capacity Utilization ◽  
Value Added ◽  
Manufacturing Performance ◽  
Domestic Credit ◽  
Short Run

AbstractThe study focused on financial sector development and manufacturing performance in Nigeria over the period of 1981 to 2015. In the study, three indicators such as manufacturing capacity utilization, manufacturing output and manufacturing value added were employed to proxy manufacturing performance while money supply as a percentage of GDP, domestic credit to the private sector and liquidity ratio were employed to proxy financial development. The study observed that credit to the private sector and money supply positively but insignificantly enhanced capacity utilization and output, but negatively impacted value added of the manufacturing sector in the short run. There is slight improvement in the long where both money supply and credit to private sector exert positive impact manufactured output. Hence, it becomes crucial for commercial banks to make available certain percentage of their profits for industrial expansion in order to create linkages between both sectors.

scholarly journals The Nexus between Financial Development and Innovation: Case of OECD

2017 ◽  
Author(s):  
Harun Bal ◽  
Erhan İşcan ◽  
Duygu Serin Oktay ◽  
Duygu Kara
Keyword(s):  
Financial Development ◽  
Positive Impact ◽  
Growth Models ◽  
Oecd Countries ◽  
Substantial Effect ◽  
Innovation Capacity ◽  
The Impact ◽  
Changing Role ◽  
The Relationship

Finance-growth nexus is a very known topic in the finance literature and most of the studies confirmed the finance-led growth hypothesis for all developed and developing countries. On the other hand, numerous studies investigated the impact of innovation on economic growth and found a substantial effect of the innovation. Especially for the last two decades almost every study agreed on the positive impact of financial development and innovation on growth. Besides various innovation-based growth models indicated that financial development is one of the main promoter of innovation-based economy. Financial development affects the efficiency of the market or the firm and this increases the innovation capacity. Despite this, only few studies focused on the relation of financial development and innovation. The main purpose of this study is to analyze the relationship between the financial development and innovation for selected OECD countries. Especially this study highlighted the changing role of the financial markets to promote the innovative activity of OECD countries. For this purpose, ARDL model employed to analyze the nexus between the financial development and innovation. The empirical findings of this study provided more knowledge to implement more effective policies to policymakers.

scholarly journals The role of finance in inclusive human development in Africa revisited

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Simplice Asongu ◽  
Rexon Nting
Keyword(s):  
Human Development ◽  
Financial Development ◽  
Fixed Effects ◽  
Generalized Method Of Moments ◽  
African Countries ◽  
Content Type ◽  
Credit Bureaus ◽  
Public Credit ◽  
Private Credit

PurposeThis study aims to investigate the direct and indirect linkages between financial development and inclusive human development in African countries.Design/methodology/approachThe study employs a battery of estimation techniques, notably: two-stage least squares, fixed effects, generalized method of moments and Tobit regressions. The dependent variable is the inequality adjusted human development index. All dimensions of the Financial Development and Structure Database of the World Bank are considered.FindingsThe main finding is that financial dynamics of depth, activity and size improve inclusive human development, whereas the inability of banks to transform mobilized deposits into credit for financial access negatively affects inclusive human development.Practical implicationsPolicies should be tailored to improve mechanisms by which credit facilities can be provided to both households and business operators. Surplus liquidity issues resulting from the inability of banks to transform mobilized deposits into credit can be resolved by enhancing the introduction of information sharing offices (like public credit registries and private credit bureaus) that would reduce information asymmetry between lenders and borrowers.Originality/valueThis study complements the extant literature by assessing the nexus between financial development and inclusive human development in Africa.

scholarly journals Innovation and Human Development Perspectives in West Africa

SAGE Open ◽  
2020 ◽  
Vol 10 (4) ◽  
pp. 215824402098327
Author(s):  
Dominic E. Azuh ◽  
Jeremiah O. Ejemeyovwi ◽  
Queen Adiat ◽  
Babatunde A. Ayanda
Keyword(s):  
West Africa ◽  
Research And Development ◽  
Human Development ◽  
Growth And Development ◽  
Positive Impact ◽  
Generalized Least Squares ◽  
Estimation Techniques ◽  
University Industry ◽  
Adequate Research

Innovation during this era of globalization plays a crucial role in the growth and development of an economy. This study empirically investigates the role of research and development (innovation) on human development in West Africa (2004—2014). The estimation techniques utilized to carry out the objective are the standard variations of the Generalized least squares—Panel Fixed and Panel Random effects estimation techniques. The empirical results show that research and development in West Africa has a statistically significant positive impact on human development which emphasizes the potentials of human development to be harnessed by consistent research and development. The study recommends increased research and development (innovation) through adequate research and development funding and university-industry partnership for real human development problems to be solved.

scholarly journals Complementarity Between Foreign Aid and Financial Development as a Driver of Economic Growth in Selected Emerging Markets

2018 ◽  
Vol 21 (4) ◽  
pp. 45-61
Author(s):  
Kunofiwa Tsaurai
Keyword(s):  
Economic Growth ◽  
Emerging Markets ◽  
Foreign Aid ◽  
Financial Development ◽  
Positive Impact ◽  
Financial Sector ◽  
Ordinary Least Squares ◽  
Private Debt ◽  
Domestic Credit ◽  
Private Credit

This paper studied whether the complementarity between financial development and foreign aid promotes economic growth in selected emerging markets using the panel Fully Modified Ordinary Least Squares (FMOLS) approach, with data ranging from 1994 to 2014. Although (1) aid‑growth and (2) finance‑growth studies have been conclusively dealt with, the role of financial development in the aid‑growth nexus has been hardly researched. Is financial development a channel through which foreign aid positively influences economic growth? The current study seeks to address these issues using selected emerging markets as a case study. The complementarity between foreign aid and financial development (domestic credit provided by the financial sector, domestic private credit provided by banks, outstanding domestic private debt securities and stock market turnover) resulted in a significant positive impact on economic growth. The study, therefore, urges selected emerging markets to implement policies which deepen the financial sector in order to allow foreign aid to positively contribute towards economic growth.

scholarly journals Peran Pendidikan dalam Proses Peacebuilding di Sierra Leone

2021 ◽  
Vol 6 (2) ◽  
pp. 1-11
Author(s):  
Ulfah Fatmala Rizky
Keyword(s):  
Human Development ◽  
Sierra Leone ◽  
Human Development Index ◽  
Social Transformation ◽  
Positive Impact ◽  
Skills Training ◽  
Educational Interventions ◽  
Literature Study ◽  
Development Index

Abstract, This paper intends to describe the conflict that occurred in Sierra Leone which resulted in the Complex Political Emergency (CPE) condition and the role of education in the peacebuilding process in Sierra Leone. This condition has reduced the Human Development Index in the country. In order to raise the Human Development Index in Sierra Leone, the conflict must end immediately. One of the ways to end the conflict is by doing peacebuilding. The peacebuilding process can be done through education. In addition, by increasing access to education or rebuilding the education system. The five roles of education in the peacebuilding process, namely: first, skills training that offers a new way of life apart from violence. Second, education protects children. Quality education will provide physical, psychosocial, and cognitive protection for children. Third, education helps rebuild 'normality' and self-confidence. Fourth, education helps restore social capital that has been lost and damaged by prolonged conflict. Fifth, education contributes to social transformation. Through the literature study method, this paper found that educational interventions in Sierra Leone have a positive impact on the peacebuilding process. Keywords: conflict, role of education, peacebuilding Abstrak, Tulisan ini bermaksud untuk menggambarkan konflik yang terjadi di Sierra Leone yang melahirkan kondisi Complex Political Emergencies (CPE) dan bagaimana peran pendidikan dalam proses peacebuilding di Sierra Leone. Di mana kondisi ini telah menurunkan Indeks Pembangunan Manusia di Negara tersebut. Untuk dapat meningkatkan Indeks Pembangunana Manusia di Sierra Leone maka konflik harus segera diakhir. Salah satu cara untuk mengakhiri konflik adalah dengan melakukan peacebuilding. Proses peacebuilding dapat dilakukan melalui pendidikan. Selain itu, dengan meningkatkan akses pendidikan atau membangun kembali sistem pendidikan. Lima peran pendidikan dalam proses peacebuilding, yaitu: pertama, pelatihan ketrampilan yang menawarkan jalan kehidupan baru selain kekerasan. Kedua, pendidikan melindungi anak-anak. kualitas pendidikan akan memberikan perlindungan fisikal, psikososial, dan juga kognitif bagi anak-anak. Ketiga, pendidikan membantu membangun kembali ‘normalitas’ dan kepercayaan diri. Keempat, pendidikan membantu untuk memperbaiki modal sosial yang hilang dan rusak akibat konflik yang berkepanjangan. Kelima, pendidikan berkontribusi pada transformasi sosial. Melalui metode studi kepustakaan, tulisan ini menemukan bahwa intervensi pendidikan di Sierra Leone memberikan dampak positif terhadap proses peacebuilding. Kata kunci: konflik, peran pendidikan, pembangunan perdamaian

scholarly journals The Role of Institutions in the Finance-Inequality Nexus in Sub-Saharan Africa

2017 ◽  
Vol 137 (1-2) ◽  
pp. 173-192
Author(s):  
Ngozi Adeleye ◽  
Evans Osabuohien ◽  
Ebenezer Bowale
Keyword(s):  
Income Inequality ◽  
Financial Development ◽  
Sub Saharan Africa ◽  
Jel Codes ◽  
Domestic Credit ◽  
Sub Saharan ◽  
Generalised Method Of Moments ◽  
Control Of Corruption ◽  
Ssa Countries

This study contributes to the literature on income inequality by providing evidence that financial development not only impacts income distribution, but the effects can improve when there is a strong institutional framework. Using the system-generalised method of moments (sys-GMM) technique on a sample of 42 Sub-Saharan African (SSA) countries from 1996 to 2015, our major findings are summarised as follows: (1) inequality is persistent in the region (2) financial development does not significantly reduce income inequality; and (3) the control of corruption and its interaction with domestic credit exhibit an inverted-U relation with income inequality. Thus, policies that will reduce income inequality require that corruption be controlled given increase in domestic credit. JEL Codes: F36; G21; O15

scholarly journals The Role of Twitter Medium in Business with Regression Analysis and Statistical Modelling

2021 ◽  
Vol 2021 ◽  
pp. 1-12
Author(s):  
Jia Cong ◽  
Zubair Ahmad ◽  
Basim S.O. Alsaedi ◽  
Osama Abdulaziz Alamri ◽  
Ibrahim Alkhairy ◽  
...  
Keyword(s):  
Positive Impact ◽  
Statistical Tests ◽  
Statistical Modelling ◽  
Proposed Model ◽  
Media Platform ◽  
Heavy Tailed ◽  
Linear Regression Modeling ◽  
The Impact ◽  
A Company

Marketing refers to the strategies a company undertakes to promote its brands to its potential audience. Advertising provides useful venues for marketing to promote a company’s survives/goods to the audience. It has a positive impact on the sale of services or products. In this study, we consider a well-known online medium called Twitter (the fourth most popular social media platform used by marketers) to check its impact on sales. For this purpose, the simple linear regression modeling approach is implemented to test the significance and usefulness of Twitter advertising on sale. Statistical tests such as t-test and correlation test are adopted to test the hypothesis of the “impact of Twitter advertising on sales.” Based on the findings of this study, it is observed that Twitter advertising has a positive impact on sales. Furthermore, a new statistical model called the exponential T-X exponentiated exponential is introduced. The proposed model is very interesting and possesses heavy-tailed characteristics which are useful in finance and other related sectors. Finally, the applicability of the new model is illustrated by considering the sales data.

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