Human Capital Development and Financial Sector Efficiency: Drivers of International Trade Competitiveness in Sub-Saharan Africa

David Aboagye Danquah () and Kunofiwa Tsaurai ()
Additional contact information
David Aboagye Danquah: University of South Africa
Kunofiwa Tsaurai: University of South Africa

Acta Universitatis Danubius. OEconomica, 2024, issue 20(4), 91-108

Abstract: This study assesses the relationship between human capital development, financial sector efficiency, and international trade competitiveness in Sub-Saharan Africa (SSA). The study utilised the system Generalised Moment Method (GMM) to analyse annual panel data for 38 SSA economies from 1980 to 2022. The study revealed human capital development serves as a channel for financial development to impact trade. Thus, for each unit increase in the interaction between financial development and human capital development, trade intensity increases by approximately 0.412%. and trade volume increases by approximately 0.4507%. The study suggests that policymakers in Sub- Saharan Africa should integrate financial literacy and managerial skills training to enhance international trade competitiveness, focusing on SMEs, while also facilitating SME access to financial services, establishing funding mechanisms, and strengthening institutional support for trade promotion, to foster sustainable growth in trade intensity and volume.

Keywords: Financial Development; Generalised Moment Method; Human Capital Development; International Trade; Africa (search for similar items in EconPapers)
Date: 2024
References: Add references at CitEc
Citations:

Downloads: (external link)
https://dj.univ-danubius.ro/index.php/AUDOE/article/view/2933/2873 (application/pdf)

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:dug:actaec:y:2024:i:4:p:91-108

Access Statistics for this article

More articles in Acta Universitatis Danubius. OEconomica from Danubius University of Galati Contact information at EDIRC.
Bibliographic data for series maintained by Daniela Robu ().