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Financial Permeation and Economic Growth: Evidence from Sub-Saharan Africa

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  • Inoue, Takeshi
  • Hamori, Shigeyuki

Abstract

This article empirically analyzes the role of finance in economic growth in Sub-Saharan Africa from the perspective of what is termed herein “financial permeation”. By estimating panel data on 37 countries in Sub-Saharan Africa between 2004 and 2010, we examine whether financial permeation through improved convenience and access to financial services has contributed to economic growth in this region. Empirical results clearly indicate that financial permeation has a statistically significant and robust effect on increasing economic growth in Sub-Saharan Africa.

Suggested Citation

  • Inoue, Takeshi & Hamori, Shigeyuki, 2013. "Financial Permeation and Economic Growth: Evidence from Sub-Saharan Africa," MPRA Paper 53417, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:53417
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    References listed on IDEAS

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    2. EZZAHID, Elhadj & ELOUAOURTI, Zakaria, 2017. "Financial development and total factors productivity channel: Evidence from Africa," MPRA Paper 81764, University Library of Munich, Germany.

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    More about this item

    Keywords

    Economic growth; Financial inclusion; Financial permeation; Sub-Sahara Africa;
    All these keywords.

    JEL classification:

    • G00 - Financial Economics - - General - - - General
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development

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