The impact of foreign capital inflows on economic growth in selected west African countries

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collectionurl https://intelek.unisza.edu.my/intelek/pages/search.php?search=!collection407072
date 2017-03-20 23:48:05
format Restricted Document
id 11205
institution UniSZA
originalfilename 5408-01-FH02-FESP-17-11134.pdf
person Dr.Ghozali4868
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resourceurl https://intelek.unisza.edu.my/intelek/pages/view.php?ref=11205
spelling 11205 https://intelek.unisza.edu.my/intelek/pages/view.php?ref=11205 https://intelek.unisza.edu.my/intelek/pages/search.php?search=!collection407072 Restricted Document Article Journal application/pdf 9 1.6 Adobe Acrobat Pro DC 20 Paper Capture Plug-in Dr.Ghozali4868 2017-03-20 23:48:05 5408-01-FH02-FESP-17-11134.pdf UniSZA Private Access The impact of foreign capital inflows on economic growth in selected west African countries American Journal of Innovative Research and Applied Sciences Background: The West African countries have been identified with inadequate capital for investment, being one of the poorest subregions in the world. Objective: The objective of this study is to examine the nature of relationship between foreign capital inflows and the level of economic growth in selected West African Countries and to observe the causality between foreign capital inflows components and economic growth. Method: This study employed panel data from 1980 to 2015 to examine the impact of foreign capital inflows on the economic growth in the selected West African countries using Two Gap Theory. In addition, we adopt Pedroni cointegration and granger causality test. Result: The findings indicate shows the existence of long run relationship between foreign capital inflows and economics growth in selected West African country. All the variables were positive but only foreign direct investment is significant. Net migrant remittance, foreign direct investment and official development assistance cause growth in the short run. Conclusion: The study concludes that foreign capital inflows is imperative in closing the savings-investment gap required for economic growth in selected west African countries. Recommendation: The study recommends policy to encourage capital inflows via provision of enabling environment for foreign investment, reduction political instability and diversification of domestic economies. 4 3 64-104
spellingShingle The impact of foreign capital inflows on economic growth in selected west African countries
summary Background: The West African countries have been identified with inadequate capital for investment, being one of the poorest subregions in the world. Objective: The objective of this study is to examine the nature of relationship between foreign capital inflows and the level of economic growth in selected West African Countries and to observe the causality between foreign capital inflows components and economic growth. Method: This study employed panel data from 1980 to 2015 to examine the impact of foreign capital inflows on the economic growth in the selected West African countries using Two Gap Theory. In addition, we adopt Pedroni cointegration and granger causality test. Result: The findings indicate shows the existence of long run relationship between foreign capital inflows and economics growth in selected West African country. All the variables were positive but only foreign direct investment is significant. Net migrant remittance, foreign direct investment and official development assistance cause growth in the short run. Conclusion: The study concludes that foreign capital inflows is imperative in closing the savings-investment gap required for economic growth in selected west African countries. Recommendation: The study recommends policy to encourage capital inflows via provision of enabling environment for foreign investment, reduction political instability and diversification of domestic economies.
title The impact of foreign capital inflows on economic growth in selected west African countries
title_full The impact of foreign capital inflows on economic growth in selected west African countries
title_fullStr The impact of foreign capital inflows on economic growth in selected west African countries
title_full_unstemmed The impact of foreign capital inflows on economic growth in selected west African countries
title_short The impact of foreign capital inflows on economic growth in selected west African countries
title_sort impact of foreign capital inflows on economic growth in selected west african countries