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Financial Development and Economic Growth in the North African Region

Imen Kouki

African Development Review, 2013, vol. 25, issue 4, 551–562

Abstract: This paper empirically investigates the relationship between financial development and economic growth in the North Africa region, using a panel regression and different indicators of financial development. We find that the relation depends on the type of the indicator of financial development. In fact, while both financial institutions and markets in Morocco and Tunisia have a positive effect on the economic growth, only the financial markets in Egypt will improve economic growth by increasing the supply of financial services. For Algeria, the banking system has a positive effect on economic growth.

Date: 2013
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