Abstract The purpose of the study was to explore and determine the factors that leads to the success and failure of the State Owned Enterprises (SOEs) in Namibia with a view to develop a privatization model that could be used as a pilot for future privatization effort within the Namibian context. A semi-structured questionnaire was used to collect primary data from 31 respondents who occupied management positions within the various departments of the 12 selected economic and productive SOEs....
Abstract The paper analysed the relationship between real exchange rate misalignment and capital flow in Namibia during the period 1993Q1 - 2015Q4. Namibia has a fixed exchange rate regime which is prone to speculative attack, moreover, a devaluation or undervaluation is the major cause of capital outflow which hinders economic growth. Thus, the estimation of the equilibrium RER and misalignment is essential. The study employed time-series techniques such as the unit root test, autoregressiv...
ABSTRACT This study investigates the effectiveness of the interest rate channel of monetary policy transmission in Zambia by employing the vector auto-regression (VAR) approach and focuses on the reduced-form relationships between money supply, inflation, real interest rate and real output by utilizing annual data for the period from 1980 to 2011. Using the 4 variable VAR model, the analysis was carried out by examining the dynamic nature of impulse response functions, multivariate Granger c...
Abstract The currencies of the five SACU countries have experienced notable volatility in the last decade. The purpose of this study therefore, was to identify the determinants of exchange rate volatility in the SACU region and also to determine if there is a long run relationship between exchange rate volatility and its determinants. The study used annual time series data from 1980 to 2017. This study uses the generalised autoregressive conditional heteroscedasticity GARCH (1, 1) approach. ...
Abstract This paper examines the weak and semi-strong form of the efficient market hypothesis in the Namibian foreign exchange market using sample data from the period January 1993 to December 2011. The study uses monthly nominal spot exchange rates for the British Pound (GBP), the United States Dollar (USD) and the European Currency Unit (EURO). The weak form is examined using the unit root tests, namely: the Augmented Dickey Fuller (ADF), the Philips-Perron (PP) and the Kwiatkowski-Phillip...
ABSTRACT Following the economic importance of export promotion for improved current account balance of an economy’s balance of payment, this study examines the export responses to exchange rate volatility in Nigeria. The research built a VAR model transformed to VECM as well as ARCH and GARCH model and found out that exchange rate volatility has a long – term negative effect on Nigeria exports. The result calls for policy actions to tackle rising exchange rate volatility. The research su...
Abstract Trade liberalization is gaining momentum in the world. For developing countries like Namibia it has serious revenue implications due to its substantial contribution to national budget. Namibia is a country characterized by small population of about 2 million coupled with small domestic market. Its membership to the Southern African Customs Union (SACU) benefits the country by sharing in the SACU Revenue Pool. Therefore, this paper analyzes the implications of trade liberalization on...
ABSTRACT Health expenditures have been on the rise in most countries including Namibia. Findings from studies that analyse the effects of demographic and epidemiological health outcomes on health expenditure can be used to determine if sufficient resources are being spent on health care, if they are appropriately allocated, and if not, how they could be re-allocated to achieve more value-for-money and bring about significant improvements in health outcomes. The study analysed effects of demo...
Abstract Over the years, Namibia continue to experienced rapid growth of unemployment. The purpose of this study is to investigate the effects of government expenditure and money supply on unemployment in Namibia. The annual data employed in the study covered the period from 1980 to 2018. The study applied the ARDL or bound cointegration approach which is said to be more appropriate for the estimation of small sample studies and variable combination of the order of integration (I (0) and I (...
Abstract In this paper, the demand for real money, M3, is estimated for South Africa for the period 1965 to 2003. The paper employs an Autoregressive Distributed Lag (ARDL) model using a two equation technique that includes cointegration and an errorcorrection model (ECM). The cointegration model estimates the long-run relation that might exists between the dependent variable and the explanatory variables, and the ECM determines the short-run relationship between money demand and its determi...
Abstract This study investigated the relationship between the exchange rate volatility and economic growth in Liberia from 1980 to 2012. Empirical literature shows conflicting results. The study used the generalised autoregressive conditional heteroskedasticity model to estimate volatility. The order of integration of the variables was tested and the variables were found not to have the same order of integration. The bounds test confirmed co-integration between GDP growth, exchange rate vola...
ABSTRACT The term exchange rate volatility is widely used in the financial market. The exchange rate is determined in the foreign exchange market, which is said to be the largest market in the world and it trades financial assets. Many studies have shown that researchers, relevant practitioners and policy makers pay lots of attention to the issue of exchange rate and volatility. Volatility is known to be very important when it comes to making decisions in financial trading activities that ar...
Abstract This paper explores the effects of competition and regulation on telecommunications sector performance in 14 Southern Africa Development Community countries from 1999 through 2006. Fixed effects regression indicates that competition has a positive influence on the total number of mobile subscribers, and a negative impact on fixed lines in operations. On the other hand regulation has a positive impact on the total number of mobile subscribers and fixed lines in operations. The study ...
ABSTRACT Investigating the effectiveness of transmission mechanisms of monetary policy is crucial for an economy. It is essential to understand how effectiveness the channels of transmission are in affecting economic activity. This study investigates the effectiveness of transmission mechanisms of monetary policy in Sierra Leone with particular focus on the interest rate, exchange rate, and credit channels. It used a Vector Autoregression (VAR) approach to estimate time series annual data fr...
ABSTRACT The thrust of this study was to analyse the impact of external debt on Zimbabwe’s economic growth using a Vector Autoregressive approach (VAR). The study used annual time series data covering the period 1980 to 2012 on the following variables: Economic growth (proxied as Real Gross Domestic Product), capital (proxied as Gross Fixed Capital Formation), labour force and external debt represented as LNY, LNK, LNLAB and LNEXT respectively. Results from the analysis confirm a long-run ...