EDUCATIONAL FACTORS AS DETERMINANT OF INTERNATIONAL RESERVES ACCUMULATION IN ORGANISATION OF PETROLEUM EXPORTING COUNTRIES

Oladejo Tokunbo Bada (), Kehinde Adekunle Adetiloy () and Felicia Omowunmi Olokoyo ()
Additional contact information
Oladejo Tokunbo Bada: Covenant University, Nigeria
Kehinde Adekunle Adetiloy: Covenant University, Nigeria
Felicia Omowunmi Olokoyo: Covenant University, Nigeria

Baltic Journal of Economic Studies, 2022, vol. 8, issue 2

Abstract: Despite huge petroleum revenues with high development needs, the growth of international reserves in OPEC countries has been negligible. This study examined the impact of educational factors using different levels of literacy in stimulating the macroeconomic determinants of international reserves in OPEC member countries using data from 2008 to 2018 from World Bank Development Indicators for 15 member countries. The study used a dynamic panel model, and the data were analyzed using System of Generalized Method of Moments (SGMM). The results show that educational levels such as adult literacy, youth literacy, tertiary and secondary enrollment mitigate the negative impact of the exchange rate and stimulate the impact of crude oil prices, while tertiary enrollment stimulates the impact of foreign direct investment and reduces the negative impact of economic crises. Overall, youth literacy was most significant for these economies, while economic crises were significantly positive at all levels as a major determinant of international reserve accumulation. Therefore, it was concluded that education contributes to the economy's accumulation of more reserves. In particular, the study recommended that national governments provide adequate funding for the education sector to improve the quality of education at the junior and high school levels in order to provide adequate knowledge and skills to enhance foreign investment.

Keywords: macroeconomic factors; international reserves; Sy-GMM; youth literacy (search for similar items in EconPapers)
JEL-codes: F13 F23 F43 F53 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://www.baltijapublishing.lv/index.php/issue/article/view/1743/1760 (application/pdf)
http://www.baltijapublishing.lv/index.php/issue/article/view/1743 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bal:journl:2256-0742:2022:8:2:2

DOI: 10.30525/2256-0742/2022-8-2-11-21

Access Statistics for this article

Baltic Journal of Economic Studies is currently edited by Anita Jankovska, Managing Editor

More articles in Baltic Journal of Economic Studies from Publishing house "Baltija Publishing"
Bibliographic data for series maintained by Anita Jankovska ().