This paper gives insight of the role of political stability in
investigating the two competing hypotheses in Developing Eight Muslim
countries, and also investigates whether conditional liaison between
corruption and political stability matters or not. The empirical
findings indicate that investment, population and political stability
play positive role in promoting economic growth. Corruption not only
impact growth but also influenced by the institutional quality that a
nation experiences. Corruption acts as sands in the wheels in the
nations having higher degree of political stability, and greases the
wheels in less politically stable countries such as Nigeria and
Pakistan. Thus, political stability is conducive to growth, as it
reduces the social unrests, political turmoil, and encourages
investment, and there by economic growth. JEL Classification: C30, D73,
O43, P48 Keywords: Corruption, Economic Growth, Political Stability,
Conditional Cooperation