scholarly journals Financial Integration and Growth Correlation in Sub-Saharan Africa

2015 ◽  
Author(s):  
Julien Acalin ◽  
Bruno Cabrillac ◽  
Gilles Dufrrnot ◽  
Luc Jacolin ◽  
Samuel Diop
Keyword(s):  
Financial Integration ◽  
Sub Saharan Africa ◽  
Sub Saharan

scholarly journals Problems and prospects of financing innovative development in sub-Saharan African countries

2019 ◽  
Vol 2019 (4) ◽  
pp. 59-67
Author(s):  
Tijani Alhassan
Keyword(s):  
Financial Services ◽  
Financial Integration ◽  
Financial System ◽  
Bank Loans ◽  
Sub Saharan Africa ◽  
Financial Resources ◽  
Innovative Development ◽  
African Countries ◽  
Sub Saharan

The article discusses the place and role of the financial system in the development of national economic systems in developing countries. There have been identified the main func-tions of the financial system: mobilizing financial resources, creating a database of investment projects and investors, monitoring and corporate deposit management, forming a block of information on diversification, transformation and risk management, facilitating the sale of goods through a payment system. The existing approaches to determining the concept of accessibility of financial resources are considered. The role of the financial sector in advancing technological innovations and industrialization in sub-Saharan African countries has been identified. The analysis of reasons for low financial integration, low access to financial services in the shadow economy has been carried out. The main reasons for the lack of access to banking services include the language barrier, lack of simple identification documents or data due to a poorly organized local infrastructure. It is noted that about 52% of the population of sub-Saharan Africa have access to formal financial services; 65% of small, medium and micro-enterprises (90% of the economic sector in Africa) do not have access to bank loans. Research and development expenditures in the economic regions have been systematized. The conclusions have been made about the underdevelopment and lag of infrastructure in sub-Saharan African countries, low availability of financial resources retarding the economic growth and innovative development of small and medium-sized businesses. Possibilities for improving the systems of financial innovative development in the investigated countries have been given.

The nexus between foreign bank presence and credit to the private sector: evidence from Sub-Saharan Africa

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Vera Fiador ◽  
Lordina Amoah ◽  
Emmanuel Abbey
Keyword(s):  
Private Sector ◽  
Fixed Effects ◽  
Financial Integration ◽  
Financial Sector ◽  
Foreign Bank ◽  
Sub Saharan Africa ◽  
Content Type ◽  
Access To Credit ◽  
Sub Saharan ◽  
The Impact

PurposeThe purpose of the study is to explore the implications of global financial integration on host economies in Sub-Saharan Africa (SSA). The study tests the competing views on the impact of foreign bank penetration on private sector access to credit in developing host economies.Design/methodology/approachUsing data on a panel 25 SSA economies over a period of 22 years from 1995 to 2016, the study employs fixed effects and Prais-Winsten estimations as well as generalized methods of moments (GMM) to test the foreign bank impact.FindingsThe findings show support for the hypothesis that global financial integration has positive implications for participating economies. In other words, financial sector liberalization and deregulation leading to the influx of foreign banks has positive implications for access to credit by the private sector in SSA economies. The study also finds other standard determinants of access to credit like lending rate and broad money supply conforming to the existing literature in terms of impact.Originality/valueOverall, the findings hold relevant implications for banking sector policies and the financial sector in general regarding the priority that policy makers and advisors attach to reforming financial sector policies.

scholarly journals Mobile money and regional financial integration: Evidence from sub-Saharan Africa

2021 ◽  
Vol 14 (1) ◽  
Author(s):  
Jonathan Tembo ◽  
Chioma Okoro
Keyword(s):  
Least Squares ◽  
Financial Integration ◽  
Political Stability ◽  
Ordinary Least Squares ◽  
The Body ◽  
Sub Saharan Africa ◽  
Mobile Money ◽  
Cross Border ◽  
Sub Saharan ◽  
The Impact

Orientation: The article examines the impact of mobile money adoption and regional financial integration in sub-Saharan Africa.Research purpose: The study sought to uncover the relationship between mobile money adoption and cross-border remittances as a de facto measure of regional integration.Motivation for the study: The extent to which differences in mobile money penetration rates across sub-Saharan Africa influence cross-border remittances remains a grey area that necessitates empirical investigation.Research approach, design and method: A quantitative research method was adopted and the study examined aggregated quarterly data obtained from 41 countries making up the four regions of sub-Saharan Africa. The study applied the dynamic ordinary least squares and fully modified ordinary least squares approaches as the estimation techniques.Main findings: Mobile money adoption has positively impacted cross-border remittances and improved de facto regional financial links in sub-Saharan Africa. The study’s findings also support the view that better governance through control of corruption and political stability removes dependence on remittances.Practical/managerial implications: There is a need to integrate mobile money and other cross-border remittance platforms to improve access to financial services for migrants and harness their savings into the mainstream economy.Contributions/value-add: The study adds to the body of knowledge by showing that higher mobile money penetration rates have regional integration benefits.

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