scholarly journals Effect of Financial Development on Energy Diversification in Sub-Saharan Africa

2020 ◽  
pp. 29-38
Author(s):  
Florence Blanche Limi
Keyword(s):  
Financial Development ◽  
Poverty Reduction ◽  
Wiener Index ◽  
Sub Saharan Africa ◽  
Energy Sources ◽  
African Countries ◽  
Energy Projects ◽  
Moments Method ◽  
Sub Saharan ◽  
Generalized Moments

The objective of this paper is to analyse the effect of financial development on energy diversification in 20 sub-Saharan African countries between 2000 and 2015. Our specificity is the calculation of the energy diversification index using the Shannon Wiener index (Stirling 1998-2000) and the estimation using the generalized moments method (GMM) on a dynamic panel. The results show that financial development positively and significantly affects the diversification of energy sources. Thus, these countries need to improve their financial systems to promote energy sources diversification to improve access to energy and improve the process of financing energy projects as a response to poverty reduction.

scholarly journals Financial Development and Poverty in Developing Countries: Evidence from Sub-Saharan Africa

2016 ◽  
Vol 9 (1) ◽  
pp. 211 ◽  
Author(s):  
Pam Zahonogo
Keyword(s):  
Developing Countries ◽  
Financial Development ◽  
Poverty Reduction ◽  
Sub Saharan Africa ◽  
Method Of Moment ◽  
African Countries ◽  
Poverty Measures ◽  
Sub Saharan ◽  
Using Data ◽  
Poverty Indicators

The paper investigates how financial development affects poverty indicators in developing countries. We implement this analysis with a poverty model using data from 42 Sub-Saharan African countries and covering the period 1980-2012. We employ the System Generalized Method-of-Moment (GMM) that is appropriate to control country specific effects and the possible endogeneity. The empirical evidence shows that there indeed exists a financial development threshold below which financial development has detrimental effects on poor and above which financial development could be associated with less poverty. The evidence then points an inverted U curve type response and the findings are robust to changes in poverty measures and to alternative model specifications, suggesting thus the non-fragility of the linkage between financial development and poverty for sub-Saharan African countries. Our findings are then promising and support the view that the relation between financial development and poverty reduction is not linear for sub-Saharan African countries.

scholarly journals THE ROLE OF FINANCIAL DEVELOPMENT AND INSTITUTIONAL QUALITY ON ENVIRONMENTAL SUSTAINABILITY IN SUB-SAHARAN AFRICAN COUNTRIES

2018 ◽  
Vol 6 (9) ◽  
pp. 156-177
Author(s):  
Aliyu Alhaji Jibrilla
Keyword(s):  
Financial Development ◽  
Environmental Sustainability ◽  
Carbon Dioxide Emissions ◽  
Early Stage ◽  
Institutional Quality ◽  
Environmental Conservation ◽  
Sub Saharan Africa ◽  
African Countries ◽  
Pooled Mean Group ◽  
Sub Saharan

This study addresses the question of financial development and institutional quality influence on the environmental sustainability of some 13 countries from the sub-Saharan Africa. Relying upon pooled mean group (PMG) for panel data, we provide evidence which suggest that both financial development and institutional quality are statistically significant determinants of per capita carbon dioxide emissions in the region. More specifically, we found that without healthy institutions and sound financial system sub-Saharan African countries might not avoid environmental degradation experienced by advanced nations during their early stage of economic progress. Our results also support the EKC hypothesis in the region.  In addition, the paper also shows that more openness to FDI inflows is good for the environment across the SSA. These findings suggest the need for institutional and financial service reform that supports robust environmental conservation.

scholarly journals Financial development and economic growth: literature survey and empirical evidence from sub-Saharan African countries

2011 ◽  
Vol 12 (1) ◽  
pp. 11-27 ◽  
Author(s):  
Songul Kakilli Acaravci ◽  
Ilhan Ozturk ◽  
Ali Acaravci
Keyword(s):  
Economic Growth ◽  
Financial Development ◽  
Banking Sector ◽  
Sub Saharan Africa ◽  
African Countries ◽  
Real Gdp ◽  
Long Run ◽  
Domestic Credit ◽  
Real Gdp Per Capita ◽  
Sub Saharan

In this paper we review the literature on the finance-growth nexus and investigate the causality between financial development and economic growth in Sub-Saharan Africa for the period 1975-2005. Using panel co-integration and panel GMM estimation for causality, the results of the panel co-integration analysis provide evidence of no long-run relationship between financial development and economic growth. The empirical findings in the paper show a bi-directional causal relationship between the growth of real GDP per capita and the domestic credit provided by the banking sector for the panels of 24 Sub-Saharan African countries. The findings imply that African countries can accelerate their economic growth by improving their financial systems and vice versa.

scholarly journals Remittances and health outcomes in Sub-Saharan African countries: Understanding the role of financial development and institutional quality

2021 ◽  
Vol 66 (229) ◽  
pp. 119-144
Author(s):  
Uweis Bare ◽  
Yasmin Bani ◽  
Normaz Ismail ◽  
Anitha Rosland
Keyword(s):  
Health Outcomes ◽  
Financial Development ◽  
Institutional Quality ◽  
Sub Saharan Africa ◽  
African Countries ◽  
Dynamic Panel ◽  
Sub Saharan ◽  
Ssa Countries

Sub-Saharan Africa (SSA) is one of the highest recipients of remittances; however, this is inconsistent with the region?s growth and the state of its weak healthcare systems. This paper therefore analyses the effect of remittances on health outcomes for 39 selected SSA countries over the period 1996 to 2016. It considers the channels through which remittances affect health outcomes, including financial development and institutional quality. Using dynamic panel estimation, we find that remittances sustain health outcomes, while both financial development and institutional quality complement remittances in this respect. SSA countries should therefore continue to improve their financial sectors and develop the quality of institutions to an adequate level. Achieving sound financial systems and institutions would both allow and attract a substantial amount of remittances, benefitting human capital and health outcomes and alleviating poverty.

scholarly journals In Whose Interest? Gender and Mass–Elite Priority Congruence in Sub-Saharan Africa

2018 ◽  
Vol 52 (1) ◽  
pp. 69-101 ◽  
Author(s):  
Amanda Clayton ◽  
Cecilia Josefsson ◽  
Robert Mattes ◽  
Shaheen Mozaffar
Keyword(s):  
Poverty Reduction ◽  
Sub Saharan Africa ◽  
Substantive Representation ◽  
African Countries ◽  
Data Set ◽  
Men And Women ◽  
Sub Saharan ◽  
Representative Process ◽  
New Evidence ◽  
Insight Into

Do men and women representatives hold different legislative priorities? Do these priorities align with citizens who share their gender? Whereas substantive representation theorists suggest legislators’ priorities should align with their cogender constituents, Downsian-based theories suggest no role for gender. We test these differing expectations through a new originally collected survey data set of more than 800 parliamentarians and data from more than 19,000 citizens from 17 sub-Saharan African countries. We find that whereas parliamentarians prioritize similar issues as citizens in general, important gender differences also emerge. Women representatives and women citizens are significantly more likely to prioritize poverty reduction, health care, and women’s rights, whereas men representatives and men citizens tend to prioritize infrastructure projects. Examining variation in congruence between countries, we find that parliamentarians’ and cogender citizens’ priorities are most similar where democratic institutions are strongest. These results provide robust new evidence and insight into how and when legislator identity affects the representative process.

scholarly journals Linking Water Access and Education in the Sustainable Development Goals in Sub-Saharan Africa

2021 ◽  
Vol 11 (6) ◽  
pp. 50-58
Author(s):  
Le Roi Nso Fils
Keyword(s):  
Negative Impact ◽  
Negative Relationship ◽  
Positive Association ◽  
Sub Saharan Africa ◽  
Water Access ◽  
African Countries ◽  
The Sustainable Development ◽  
Government Effectiveness ◽  
Sub Saharan ◽  
Generalized Moments

Despite the growing literature on water access, little is known about the effect of water access on education, particularly in sub-Saharan African countries. The aim of this paper is to fill this gap by assessing how water access affects education in 23 sub-Saharan African countries over the period 2000-2018. To carry out our investigation, we used the Generalized Moments Methods (GMM). The results show that there is a negative relationship between water access and education. Furthermore, parliament women and government effectiveness play an important role in mitigating the negative impact of water access on education. Finally, the positive association between water access and education in sub-Saharan Africa is conditioned by the achievement of a certain threshold of parliament women and government effectiveness.

scholarly journals Youth and Women Employment in Sub-Saharan Africa

2019 ◽  
pp. 97-106
Author(s):  
Nina Grishina
Keyword(s):  
Informal Economy ◽  
Economic Activity ◽  
Poverty Reduction ◽  
Social Protection ◽  
Sub Saharan Africa ◽  
Formal Sector ◽  
Absolute Poverty ◽  
Tropical Africa ◽  
African Countries ◽  
Sub Saharan

The article discusses the possibility of implementing some African countries one of the main directions of overcoming absolute poverty − employment of able-bodied population, improving the efficiency of labor. It is emphasized that the employability of youth and women played an important role in poverty reduction. The focus is on the fact that in the informal economy of Tropical Africa that the vast majority of young people and women find work. The few jobs that are created for employees in the formal sector of the economy are primarily held by men. Thus, women in Tropical Africa tend to work in unprotected employment. At the same time, the high economic activity of women in the region could be a positive factor in accelerating economic growth if productivity and working conditions improved. The author shares the opinion of sociologists, who believe that the problem of women’s employment is directly related to the opportunities of women in education. It is emphasized that in many countries of the region, the economic activity of these groups of population is influenced by traditional norms of behavior. There are many options for programs to improve the labor market and the social protection system. The preference for a programme depends on the specific circumstances, social priorities and financial capacity of the African country concerned. Examples of interaction between international structures, individual countries of the world and African organizations in solving the problem of employment of youth and women of the continent are given.

scholarly journals Finance-growth nexus in sub-Saharan Africa

2021 ◽  
Vol 24 (1) ◽  
Author(s):  
Celsa M.D.C. Machado ◽  
António F.M.G. Saraiva ◽  
Paulo D.D. Vieira
Keyword(s):  
Economic Growth ◽  
Financial Development ◽  
Low Income ◽  
Developed Countries ◽  
Dynamic Panel Data ◽  
Policy Implications ◽  
Sub Saharan Africa ◽  
Empirical Literature ◽  
African Countries ◽  
Sub Saharan

Background: There is now significant empirical literature suggesting that finance is good for growth only up to a threshold level of financial development, becoming harmful after that level, in developed and developing countries.Aim: This study extends this literature that investigates non-linearities on the finance-growth link, by testing the inverted U-shape hypothesis in sub-Saharan African countries, which are among the least developed ones.Setting: 36 countries from sub-Saharan Africa over the period 1980–2015.Method: Estimation of quadratic dynamic panel data models by system-generalised method of moments.Results: Empirical results show that there is a hump-shaped relationship between financial development and economic growth in sub-Saharan African countries.Conclusion: Results suggest that the hypothesis of ‘too much finance harms economic growth’ also holds for low-income and less developed countries, but for much lower threshold levels of financial development than those of more developed and higher-income countries. As for policy implications, measures to strengthen finance quality and other growth-enhancing strategies need to be undertaken, rather than increasing finance size.

scholarly journals The Occurrence of Conflicts and the Social Divide Do They Affect the Economic Growth of Sub-Saharan African Fragile Countries?

2021 ◽  
Vol 7 (05) ◽  
Author(s):  
YAMBEN Michel Freddy Harry
Keyword(s):  
Economic Growth ◽  
Poor Performance ◽  
Dynamic Panel Data ◽  
Sub Saharan Africa ◽  
The Social ◽  
Moments Method ◽  
Sub Saharan ◽  
Social Divide ◽  
The Impact ◽  
Generalized Moments

The article is an empirical analysis of the relationship between social divide, the occurrence of conflict and economic growth. By examining the impact of the social divide and conflict on the economic growth of six countries in sub-Saharan Africa as well as the effects of predicted variables conflict and economic growth on the social divide, we use ARDL models from the econometric perspective to study the link between conflicts and growth then the Generalized Moments Method (GMM) to solve the endogeneity problem of our main variables and, this from dynamic panel data relating to the period 1980- 2008. The results reveal that conflict destroys economic growth and conversely, economic growth creates new social divides that increase the opportunity for conflict and depress activity. The intensity of the conflicts in these countries seems to be able to project fragile economies more quickly on trajectories which lead them less towards their level of long-term equilibrium growth. Indeed, conflict assessment should be a central concern of development economists for the sake of economic recovery. Finally, the poor performance in terms of growth cannot be blamed on the conflicts whose exacerbation is the cause, but must lead decision-makers to reflect on the structural causes.

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