دانلود رایگان مقاله انگلیسی تاثیر سرمایه خارجی برای رشد اقتصادی در کشورهای آفریقایی انتخاب شده - امرالد 2018

Abstract

Purpose – Nowadays, foreign capital inflow (FCI) is considered as a catalyst for economic development and an important source of transferring technology and foreign exchange earnings from developed to developing countries. The purpose of this paper is to study, first, the impact of different forms of FCIs, namely, foreign direct investment (FDI), personal remittances (PR) and official development assistant (ODA) on economic growth on 26 top African countries; and, second, which of them is more effective on economic growth of the studied countries. The results of this paper are very important for host governments’ policy and help them to design their economic plans to absorb the suitable foreign inflow. Design/methodology/approach – The paper uses Pooled Mean Group (PMG) econometric technique to estimate the heterogeneous panels over the period 1992–2016. Findings – The results of the study show that all three forms of FCIs have positive and significant effects on economic growth in the long and short run. However, the PR had the most effect on economic growth in the long and short run. The study suggests that the governments should design and implement appropriate fiscal, monetary and trade policies in order to create and improve an enabling environment to attract FCIs as a supplementary source of domestic investment. Research limitations/implications – The research limitations of this paper are as follows: data sets of FDI, PR and ODA were available not for all African countries; and, data sets that were available were of before the year 1992. Thus, the research is done for the African countries which had the data sets after the year 1992. Practical implications – The result of this paper indicates the impact of each FDI, PR and ODA in economic growth. So, countries can take more attentions to each of them on economic planning. Social implications – FCIs are one of the important external source of exchange for each country. So, the study of importance of each of them is necessary for economic planning. Originality/value – Most of the previous studies have examined the impact of three different forms of FCIs on economic growth separately, on different countries and regions and using various models and econometric techniques. One of the contributions of this paper is focused on the impacts of FDI, PR and ODA on economic growth separately and simultaneously in 26 top recipient African countries and using the PMG technique which is an advanced econometrical estimation and studied less about it. The other contribution of this research is the comparison of the impact of different FCIs on economic growth, and it is very important for governments’ economic policy.

5. Conclusion

This study tries to investigate empirically the impacts of FDI, PR and ODA on economic growth of 26 top host African countries over the period 1992–2016 by PMG estimator. All the three forms of FCIs used in this study affect economic growth in the studied African countries positively and statistically significant in the long- and short-run. However, PR had more impact than FDI and ODA on economic growth of 26 African countries over the study period. The result of this study is consistence with some recent research such as Ali and Mingque (2018), Adedokum (2017), Adusah-Poku (2016) and Dutta et al. (2016). In these studies, remittance is the most important sources of FCIs in the host countries, and the governments try to encourage the migrants to send external revenues back home country. In the recent years, remittances to African countries are decisive to most African countries’ economies not only in the long-run but also in the short-run as well. The World Bank figures show that for instance, in 2016, remittance to African countries was $65,208.29m, as compared to the FDI which stood at $32,095.23m and ODA $13,225.95m in real terms (world bank, org., 2016). According to the World Bank in 2016, PR can greatly contribute to the welfare and productivity of people and households. As a result of this study, PR proves to be a viable contribution to the economy in the long-run. It is necessary to provide helpful terms like high-interest rate, exemptions in tax and flexible currency conversion to increase remittances inflow. The government should also steer remittances toward small business. Existing financial payment mechanisms make remittances very expensive and migrants who want to send money home face obstacles such as hidden charges and fees, slow fulfillment, limited infrastructure for pay points, and transfers (both countries or within country), legal and regulatory barriers, coordination failures among institutional actors, individual risk such as loss of funds in transit, and systemic risk such as money laundering, etc. A policy should be made convenient and should encourage minimum pay point, strong coordination between financial institutions by developing countries to save regulatory barriers and risk of money laundering. The government policy should be designed toward inducing the private sector to allocate more resources for investment in leveling up the rate of growth. Otherwise, a significant portion of remittances would result an increase in private consumption without any contributory impact on the economy.