In recent years remittances have gained attention among researchers, policy makers,
members of the civil society and international community due to their increasing size. In
this study, the main aim was to examine the impact of international remittances on
economic growth of Ghana from 1980 to 2015.The study employed annual time series
data and applied autoregressive distributed lag (ARDL) model as the estimation
technique. The results show that remittance and economic growth over the study period
showed an increasing trend. The short and long run results revealed that remittance has
positive but insignificant influence on economic growth. The result further revealed that
in the short run trade openness impact negatively on economic growth whereas
government expenditure influenced economic growth positively. The long run result
revealed that good governance, labour force and government expenditure significantly
influence economic growth positively. Trade openness and financial development were
revealed to have negative and significant influence on economic growth. Based on the
positive relationship between remittance and economic growth, it is therefore
recommended that policies regarding emigration should be structured properly to
mobilize migrant capital to enhance economic growth. It is also recommended that
government should implement policies that can motivate people to export more and
import less to change the negative effect trade openness has on economic growth.
Citizens must also be encouraged to patronage locally produced goods which will reduce
the amount of imported goods to enhance economic growth. These are likely to enhance
economic growth and the entire welfare of Ghanaians.
Eastern Network, L (2021). INVESTIGATING THE IMPACT OF INTERNATIONAL REMITTANCES ON ECONOMIC GROWTH OF GHANA ... Afribary.com: Retrieved April 15, 2021, from https://afribary.com/works/investigating-the-impact-of-international-remittances-on-economic-growth-of-ghana
Library, Eastern Network. "INVESTIGATING THE IMPACT OF INTERNATIONAL REMITTANCES ON ECONOMIC GROWTH OF GHANA .." Afribary.com. Afribary.com, 02 Apr. 2021, https://afribary.com/works/investigating-the-impact-of-international-remittances-on-economic-growth-of-ghana . Accessed 15 Apr. 2021.
Library, Eastern Network. "INVESTIGATING THE IMPACT OF INTERNATIONAL REMITTANCES ON ECONOMIC GROWTH OF GHANA ..". Afribary.com, Afribary.com, 02 Apr. 2021. Web. 15 Apr. 2021. < https://afribary.com/works/investigating-the-impact-of-international-remittances-on-economic-growth-of-ghana >.
Library, Eastern Network. "INVESTIGATING THE IMPACT OF INTERNATIONAL REMITTANCES ON ECONOMIC GROWTH OF GHANA .." Afribary.com (2021). Accessed April 15, 2021. https://afribary.com/works/investigating-the-impact-of-international-remittances-on-economic-growth-of-ghana