Inclusive financial systems in any economy cannot be ignored. In fact, it has become a policystrategy in many governments around the world, including East Africa region economies – Kenya,Uganda and Tanzania. Using panel data, this study presents a cross country analysis of thevariables that determine financial inclusion levels with a key focus on economic growth throughdemand leading hypothesis. The study sought to test if economic expansion matters in financialinclusion in East Africa for ...
This paper empirically explores the effect of domestic debt, as a share of Gross Domestic Product (GDP), on economic growth in the East Africa Community (EAC) over the period 1990-2010. This study was based on the Solow growth model augmented for debt. Levin-Lin-Chu test (LLC) was used to investigate the properties of the data with respect to Unit roots. The Hausman specification test was used to select the panel fixed-effects model, which was corrected for heteroscedasticity. The results sho...
ABSTRACT The study investigates the New Partnership for Africa’s Development (NEPAD). Although the initiative is quite new, many contributions have been made and many articles written about it. NEPAD is the latest initiative aimed at improving economic growth and development in Africa. It is a programme of the African Union (AU) and all member states of the AU are automatically members of the NEPAD programme. The other earlier initiatives such as the Lagos Plan of Action (1980), amongst oth...
Abstract: Mining activities greatly contribute to economic growth and development in South Africa. However, post-mining soils have limited land-use potential due to low fertility, deficiency in organic matter content and poor physical, chemical, and microbiological properties. Mechanical methods to improve soil conditions, such as ripping, are expensive and provide temporary improvements. Alternatively, exploring biological methods could aid in creating arable land from degraded soils, where...
Abstract: A significant increase in low carbon investments is required to limit global warming to less than 2°C. For example, about USD 900 billion should be invested annually in the energy sector up to 2030 to meet this target. Climate finance provides opportunities for investments in climate-smart projects. Such investments could enhance Africa’s adaptive capacity, food security and economic growth. Nonetheless, Africa lags behind in the access and utilisation of these funds. Climate fi...
ABSTRACT Considering the level of inequality (GINI) and its importance in economic performance and the attainments of human development (HD), this paper examines the role of inequality in the translation of economic growth (GDPG) to HD. The study was conducted using 39 African countries from the period of 1980 to 2015. A change in non-income HD measure (△HD) comprising life expectancy at birth and education with a five-year difference was computed. An average for every five-year period cor...
AbstractThe study examines the impact of agriculture on economic growth in Nigeria from 1980 to 2014. Agriculture played a dominant role in the economic growth of the country, providing employment opportunity, raw materials for industries and providing foreign exchange earnings for the country. Though little emphasis was placed on agricultural productivity in the advent of crude oil, the impact of agriculture on economic growth has been significant. The study therefore examines some policy pr...
ABSTRACT The failure of the conventional theories of economic growth to significantly reduce poverty in Africa has led to a new focus on poverty reduction that emphasises on participatory policies that benefit the poor directly. One outcome of this has been the introduction in Ghana of the social grant scheme, Livelihood Empowerment against Poverty (LEAP). The LEAP programme is a social cash transfer facility which provides cash and health insurance to extremely poor households across Ghana t...
Abstract This paper employ various econometric techniques to analyze the determinants of inflation in Namibia, focusing particularly on the relationships that exist between the Namibian price, as the dependant variable, and the real Gross Domestics Product, Broad money supply, interest rate, and South African Price index as well as the United States price index, being the explanatory variables and probable determinants of inflation rate in Namibia.. Inflation equations that were estimated use...
Abstract This paper employ various econometric techniques to analyze the determinants of inflation in Namibia, focusing particularly on the relationships that exist between the Namibian price, as the dependant variable, and the real Gross Domestics Product, Broad money supply, interest rate, and South African Price index as well as the United States price index, being the explanatory variables and probable determinants of inflation rate in Namibia.. Inflation equations that were estimated us...
This manuscript investigates the impact of gender-focused foreign aid on income inequality in East Africa, a topic with limited existing research. This research adds value by providing practical recommendations for policymakers to enhance the effectiveness of aid programs in fostering economic equity through targeted interventions. Using the Generalized Method of Moments (GMM) on panel data from three East African countries for over a decade provides robust evidence that gender-sensitive aid...
ABSTRACT Kenya has witnessed increased financial integration following capital liberalization in the late 1980s which led to increased foreign private capital flows. Financial integration is considered to complement domestic investment, enhance economic growth and reduce macroeconomic volatility by promoting credit and risk diversification. However, private capital can enhance macroeconomic volatility by exposing domestic market to external volatility. Despite Kenya experiencing increased fi...
ABSTRACT Agricultural activities contribute about 33% of the East African Community‟s Gross Domestic Product (World Bank, 2009), 80 per cent of the populace depend on agriculture directly and indirectly for food, employment and income, while about 40 million people in EAC suffer from hunger. Intra-EAC trade is very low, that is, at 9 per cent of the total regional trade, but it is on upward trend. Agricultural trade accounts for over 40 per cent of the intra-EAC trade. This study investiga...
ABSTRACT Agricultural activities contribute about 33% of the East African Community‟s Gross Domestic Product (World Bank, 2009), 80 per cent of the populace depend on agriculture directly and indirectly for food, employment and income, while about 40 million people in EAC suffer from hunger. Intra-EAC trade is very low, that is, at 9 per cent of the total regional trade, but it is on upward trend. Agricultural trade accounts for over 40 per cent of the intra-EAC trade. This study investigat...
ABSTRACT Remittance flows in Sub-Saharan Africa have increased for the past two decades. However; empirical literature fails to reach a consensus on the impact of remittances on economic growth, with many studies using aggregate data that suffers from aggregation bias. Given that there are different categories of remittances resulting from varying patterns of remitting, there was a need to specifically the effect of each component of remittances on economic growth. This will help in optimal ...