EconPapers    
Economics at your fingertips  
 

Financial Integration and Growth Outcomes in Africa: Experience of the Trade Blocs

Ibrahim Adekunle (), Abayomi Onanuga () and Ibrahim Odusanya ()
Additional contact information
Ibrahim Adekunle: Babcock University, Nigeria
Abayomi Onanuga: Olabisi Onabanjo University, Ogun State, Nigeria

No 21/052, Working Papers from European Xtramile Centre of African Studies (EXCAS)

Abstract: In this study, we examine the benefits of financial integrations in four of Africa regional trade blocs: COMESA, ECCAS, CEN-SAD and ECOWAS. We regress de-jure and de-facto indices of financial integration on growth outcome using the dynamic system generalised method of moment and pooled mean group estimation procedure. Findings revealed that total foreign asset and liabilities and foreign liabilities as a percentage of GDP are inversely related to growth outcomes in COMESA. In CEN-SAD, we found that foreign liabilities as a percentage of GDP hurts growth. In ECCAS, growth-financial integration relationship showed that foreign liabilities as a percentage of GDP inhibit real per capita GDP in the long run. In ECOWAS, foreign liabilities as a percentage of GDP is inversely related to real per capita GDP in the long run. Policy implications of our findings were discussed.

Keywords: Financial Integration; Economic Growth; system GMM; Pooled Mean Group; Regional Trade Bloc; Africa (search for similar items in EconPapers)
JEL-codes: F36 F43 O47 (search for similar items in EconPapers)
Pages: 33
Date: 2021-01
New Economics Papers: this item is included in nep-fdg, nep-isf and nep-mac
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Forthcoming in Transnational Corporations Review

Downloads: (external link)
http://publications.excas.org/RePEc/exs/exs-wpaper ... tcomes-in-Africa.pdf Revised version, 2021 (application/pdf)

Related works:
Working Paper: Financial Integration and Growth Outcomes in Africa: Experience of the Trade Blocs (2021) Downloads
Working Paper: Financial Integration and Growth Outcomes in Africa: Experience of the Trade Blocs (2021) Downloads
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:exs:wpaper:21/052

Access Statistics for this paper

More papers in Working Papers from European Xtramile Centre of African Studies (EXCAS)
Bibliographic data for series maintained by Anutechia Asongu Simplice ().

 
Page updated 2022-05-13
Handle: RePEc:exs:wpaper:21/052