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Inflation, Money and Economic Growth in Cameroon

Author

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  • Henri Ngoa Tabi
  • Henri Atangana Ondoa

Abstract

For some decades now, anti-inflationary monetary policies have been adopted by the Central bank of the CEMAC zone in view of sustaining economic growth. Despite the low level of inflation recorded, the economic growth of Cameroon remains fragile. The objective of this article is to analyse the relationship between economic growth, inflation and money in circulation using a VAR model for the period 1960-2007. It is shown that increase in money supply increases growth and that growth causes inflation; however, an increase in money supply does not necessarily increase inflation.

Suggested Citation

  • Henri Ngoa Tabi & Henri Atangana Ondoa, 2011. "Inflation, Money and Economic Growth in Cameroon," International Journal of Financial Research, International Journal of Financial Research, Sciedu Press, vol. 2(1), pages 45-56, March.
    • Handle: RePEc:jfr:ijfr11:v:2:y:2011:i:1:p:45-56
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    References listed on IDEAS

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    2. Forgha Godfrey NJIMANTED & Daniel AKUME & Emmanuel Mbella MUKETE, 2016. "The Impact of Key Monetary Variables on the Economic Growth of the CEMAC Zone," Expert Journal of Economics, Sprint Investify, vol. 4(2), pages 54-67.
    3. Hicham Ayad, 2020. "Money Supply, Inflation and Economic Growth: Co-Integration and Causality Analysis," Studia Universitatis Babeș-Bolyai Oeconomica, Sciendo, vol. 65(2), pages 29-45, August.

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