scholarly journals Financial Inclusion in East Africa: Does Economic Growth Matter?

2021 ◽  
pp. 1-8
Author(s):  
John Thomi ◽  
Naftaly Mose
Keyword(s):  
Economic Growth ◽  
East Africa ◽  
Estimation Method ◽  
Ordinary Least Squares ◽  
Financial Inclusion ◽  
Least Squares Regression ◽  
Access Rate ◽  
Country Analysis ◽  
Cross Country ◽  
Effect Estimation

Inclusive financial systems in any economy cannot be ignored. In fact, it has become a policy strategy in many governments around the world, including East Africa region economies – Kenya, Uganda and Tanzania. Using panel data, this study presents a cross country analysis of the variables that determine financial inclusion levels with a key focus on economic growth through demand leading hypothesis. The study sought to test if economic expansion matters in financial inclusion in East Africa for the period 2006-2019. Panel ordinary least squares regression technique and fixed effect estimation method were adopted during the analysis. Following the findings of the study, economic growths depict a considerable influence on the financial access rate in East Africa. The corroboration presented by this study may help the respective countries to adopt policies that focus on improving financial inclusion levels through sustained economic growth.

Entrepreneurship and economic growth: does gender matter?

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sarah R. Crane
Keyword(s):  
Economic Growth ◽  
Developed Countries ◽  
Ordinary Least Squares ◽  
Cultural Barriers ◽  
Entrepreneurial Firms ◽  
Least Squares Regression ◽  
Content Type ◽  
World Survey ◽  
Country Analysis

PurposeEntrepreneurial firms contribute to economic growth, but the potential gendered nature of this contribution must be investigated as outcomes of male-owned and female-owned firms differ. The study investigates the female underperformance hypothesis in a cross-country analysis of Schumpeterian entrepreneurs. Next, it investigates if there is a gendered dimension of Schumpeterian firm contribution to economic growth.Design/methodology/approachThe study utilizes both nonparametric and parametric methodologies. Through nonparametric methods, the success of female-owned and male-owned firms is compared. Next, a parametric ordinary least squares regression model tests if there is a gendered nature of an entrepreneurial firm's economic contribution.FindingsIn nonparametric analyses, female-owned entrepreneurial firms in developed countries perform similarly to male-owned firms, while in developing countries male-owned firms significantly outperform female-owned firms. The author also finds strong evidence that the gender of the Schumpeterian entrepreneur does not matter in the contribution in economic growth.Research limitations/implicationsIn all countries, the number of female-owned entrepreneurial firms was significantly lower than that of male-owned firms. The findings point to consistent cultural barriers for women in innovation-related fields and persistent gendered norms in entrepreneurship. Thus, removal of cultural barriers and continued support for Schumpeterian entrepreneurship will benefit women and contribute to a country's economic growth.Originality/valueThe data for this study is a unique utilization of the Enterprise World Survey to identify Schumpeterian entrepreneurial firms. Additionally, the study challenges the female underperformance hypothesis and contributes to the literature on the role of entrepreneurship in economic growth.

Quality financial inclusion and its determinants in South Africa: evidence from survey data

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Kudakwashe Joshua Chipunza ◽  
Ashenafi Fanta
Keyword(s):  
South Africa ◽  
Survey Data ◽  
Financial Services ◽  
Ordinary Least Squares ◽  
Financial Inclusion ◽  
Least Squares Regression ◽  
Content Type ◽  
Demographic Groups ◽  
Financial Products ◽  
Data Limitations

PurposeThe study measured quality financial inclusion, a more comprehensive measure of financial inclusion, and examined its determinants at a consumer level in South Africa.Design/methodology/approachThis study leveraged on FinScope 2015 survey data to compute a quality financial inclusion index using polychoric principal component analysis. Subsequently, a heteroscedasticity consistent ordinary least squares regression model was employed to assess determinants of quality financial inclusion.FindingsThe empirical findings indicated that gender, education, financial literacy, income, location and geographical proximity determine quality financial inclusion. These findings could inform policymakers and financial services providers on how quality financial inclusion can be promoted through tailoring financial products for various socio-demographic groups.Research limitations/implicationsDue to data limitations, the study was confined to South Africa and did not capture digital financial inclusion. Hence, future studies could replicate the study in Sub-Saharan Africa's context and compute an index that captures digital financial inclusion.Practical implicationsThese findings could inform policymakers and financial services providers on how quality financial inclusion can be promoted through tailoring financial products for various socio-demographic groups.Originality/valueThis study proposed a more comprehensive measure of quality financial inclusion from a demand-side perspective by accounting for important dimensions that include diversity, affordability, appropriateness and flexibility of financial products and services.

scholarly journals DETERMINANTS OF INNOVATIVE ACTIVITIES: EVIDENCE FROM EUROPE AND CENTRAL ASIA REGION

2015 ◽  
Vol 60 (01) ◽  
pp. 1550004 ◽  
Author(s):  
CHI KEUNG MARCO LAU ◽  
FU STEVE YANG ◽  
ZHE ZHANG ◽  
VINCENT K. K. LEUNG
Keyword(s):  
Economic Growth ◽  
Foreign Direct Investment ◽  
Central Asia ◽  
Direct Investment ◽  
Estimation Procedure ◽  
Corruption Index ◽  
Country Analysis ◽  
Cross Country ◽  
Shed Light ◽  
Central Asia Region

Recent studies in the innovation literature show that Foreign Direct Investment (FDI) enhances innovations in recipient countries through spill-over effects. In this paper we extend the existing literature by incorporating the corruption index in the estimation procedure. Using a cross-country analysis from the Europe and Central Asia (ECA) region, covering 57 countries over the period of 1995–2010, we find no evidence of FDI spill-over effects on innovations, when corruption is endogenously modelled in the regression. Interestingly, we find that corruption and expenditure on education sector are positively related to the number of patents applications, suggesting anti-corruption programs encourage innovations that promote economic growth. Our study shed light on the national innovations and anti-corruption programs.

scholarly journals Impact of Project and Programme Aid on Economic Growth: A Cross Country Analysis

2018 ◽  
Vol 57 (2) ◽  
pp. 145-174
Author(s):  
Pervez Zamurrad Janjua ◽  
Malik Muhammad ◽  
Muhammad Usman
Keyword(s):  
Economic Growth ◽  
Principal Component ◽  
Economic Policies ◽  
Method Of Moment ◽  
System Equation ◽  
Moment Estimation ◽  
Country Analysis ◽  
Procurement Reform ◽  
Cross Country ◽  
The Impact

This study examines the impact of foreign aid instruments, namely Project Aid and Programme Aid, on economic growth of 27 aid-receiving countries. The study constructs a system of three equations, i.e. growth, investment and human capital. Using the Generalised Method of Moment estimation technique, the study concludes that while Project Aid has a positive and significant impact on economic growth, Programme Aid has an insignificant impact on economic growth. Additionally, the study finds that economic policies do enhance effectiveness of aid at aggregate level. Therefore, the capacity of aid-recipient countries to effectively use their resources for economic development needs due consideration. Keywords: Project Aid, Programme Aid, Economic Growth, Conditionality, Procurement Reform, System Equation Method, Generalised Method of Moment (GMM), Principal Component Analysis

Financial inclusion and inequality: A cross-country analysis

2020 ◽  
Vol 29 (8) ◽  
pp. 1018-1048
Author(s):  
Armand Fouejieu ◽  
Ratna Sahay ◽  
Martin Cihak ◽  
Shiyuan Chen
Keyword(s):  
Financial Inclusion ◽  
Country Analysis ◽  
Cross Country

scholarly journals Effect of Money Supply on Economic Growth: A Comparative Study of Nigeria and Ghana

2019 ◽  
Vol 7 (3) ◽  
pp. 16
Author(s):  
Cordelia Onyinyechi Omodero
Keyword(s):  
Economic Growth ◽  
Money Supply ◽  
Negative Impact ◽  
Ordinary Least Squares ◽  
Negative Influence ◽  
Positive Influence ◽  
Least Squares Regression ◽  
Monetary Authorities ◽  
Significant Negative Impact ◽  
The Impact

The effect of money supply in enhancing economic growth in Nigeria and Ghana is investigated in this study. The major objectives of the study are to establish the joint and individual influences of money supply mechanisms on economic growth in Nigeria and Ghana. The study employs data from 2009 to 2018 and uses Ordinary Least Squares regression technique for analysis of the data. The findings reveal that broad money supply (M2) has an insignificant negative influence on RGDP in Nigeria, but in Ghana the impact is significant and positive. Broad money supply (M3) exerts insignificant positive influence on RGDP in Nigeria, but significant negative impact on RGDP in Ghana while credit to private sectors (CPS) has insignificant positive influence on RGDP in both Nigeria and Ghana. The study among others suggests that the Monetary Authorities in the two countries should come up with monetary policy strategies that will help drive the economy better and such policies should consider M2 and CPS more as their contributions are necessary for economic expansion that lead to more output and employment.

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