World Bank Development Research Articles

Exploring educational trends and challenges in the MENA region amidst a global crisis: An empirical analysis of the pandemic’s impact on SDG4

The paper presents a cross-country analysis of seven countries in the MENA region and explores the effects of COVID-19 on educational policymaking. The paper uses a quasi-thematic literature review to highlight the emerging themes related to the quality of education during the pandemic. The paper investigates the educational trends in seven MENA region countries and provides descriptive analysis to understand if there were changes from 2016 to 2020. In order to investigate these trends, the study uses the conceptualization of Sustainable Development Goals (SDG 4) “Quality of education.” The analysis is based on the data from the World Bank Development indicators. The paper’s evidence identifies a difference in the level of government expenditure on education within the MENA region. Pre and during COVID-19 provides crucial insights such as all countries increased their government expenditure on education except Egypt and Bahrain. The paper further addresses the contributing factors to the educational gaps in the region, such as digital exclusion, inequality (income and gender), and the government’s budget constraints during the pandemic. This study presents recommendations to bridge these identified gaps in the post-pandemic era.

Impact of environmental, energy and business efficiency on [formula omitted] emissions: A composite indicator for emerging Asia-Pacific markets

Environmental, energy, business and development dynamics have received strong research interest. However, previous studies have mainly explored these topics separately. Conversely, we study these aspects jointly, constructing a composite indicator and assessing resulting impact on several SDGs domains. The aim of the analysis is to discover the importance of latent aspects in explaning the environmental, energy and business efficiency for specific countries. Estimating this multidimensional efficiency is relevant for the identification of the conditions for the achievement of CO2 containment and sustainable development progress. We make use of the World Bank's World Development Indicators (WB WDI) for selected emerging countries from the Asia-Pacific region ranging from lower-middle-income to upper-middle-income economies, following the WB Group country classifications by income level. We build a composite indicator for eliciting diverse dimensions related to the environment, energy policy and economic factors. The first steps of the indicators analysis are achieved by the combination of the DEA and Tobit analyses. Therefore, we examine the environmental, energy and business efficiency according to the economic development stage of the analysed countries, making use of an entropy index. The index’ robustness is tested at both stages – first, exploring the Tobit analysis, therefore, by inspecting an additional Asia-Pacific country having a different income with respect to the benchmark. The results suggest the creation of country clusters. Above all, China outstands in terms of environmental efficiency and R&D, as a result of a broader energy development strategic plan in the last few decades.

THE FINANCIAL DEVELOPMENT, INSTITUTIONS, AND POVERTY REDUCTION: EMPIRICAL EVIDENCE FROM SOUTH ASIAN COUNTRIES

Fighting poverty is one of the most critical targets of development plans and initiatives. In the pursuit of lasting growth, emerging nations now face the most challenging issue of eliminating poverty, which remains one of the most significant challenges addressing humanity nowadays. The study explores the relationships between the institutional quality, financial development, and poverty-fighting initiatives of South Asian states. It goes beyond the potential bias in earlier studies caused by omitting variables by considering the impact of the interaction between the financial sector and institutional framework. The fixed effects models with STATA15 are employed in this study from 2000 to 2019. This study's analysis uses panel data and secondary sources to conduct the inquiry with a sample of 7 South Asian economies such as Bangladesh, Bhutan, India, the Maldives, Nepal, Pakistan, and Sri Lanka. This comprehensive compilation of annual data was done with consultation from the International Monetary Fund (IMF) and the World Bank Development Indicators (WDI). The study results show that a 1% increase in financial development is associated with a 39.88% decrease in poverty, which is statistically significant and favourable. It also reveals that institutional quality plays a vital role in poverty reduction in South Asia, with a 1% increase in institutional quality leading to a 2.61% increase in poverty. Besides, a 1% increase in GDP per capita growth correlates with a 0.12% decrease in poverty. The study's findings provide significant insights into poverty reduction by considering the relationship between institutional challenges and financial development through a flexible, functional structure in South Asian countries.

Contribution of Population Growth on Economic Growth in Rwanda (1992-2022)

This study examines the impact of changes in population size on economic growth in Rwanda between 1992 and 2022. The research methodology involves the use of secondary data from World Bank development indicators. The key variables analysed include population size, gross capital formation expenditure, and gross domestic product growth rate. A multivariate time series analysis was used to examine the impact of population on economic growth in this study. Diagnostic tests were conducted, and the results indicated that the model was sound. The variables were not significantly affected by heteroskedasticity and serial correlation problems. During the unit root test, it was found that all variables were stationary at the level using intercept and trend. This led to the use of the Ordinary Least Square model. The findings reveal a complex relationship between population dynamics, gross capital formation, and economic growth in Rwanda. The R-squared value was found to be close to one, indicating that population growth and gross capital formation explain economic growth to the greatest extent. The findings from the study showed that population has negative relationship with economic growth. Gross capital formation also plays a crucial role in driving economic growth by facilitating investment activities across different sectors.

Infrastructure and economic growth in ECOWAS member states: The Westerlund co-integration approach

This research explores the impact of infrastructure on member states' economic growth in the Economic Community of West African States (ECOWAS). Utilizing panel secondary data sourced from the World Bank Development Indicators (WDI) and the African Infrastructure Development Index (AIDI) across all fifteen ECOWAS Member States over eighteen years, the study employs the panel Non-linear Autoregressive Distributed Lag (NARDL) model and the Westerlund co-integration test for analysis. The findings reveal that investments in infrastructure, improvements in the African Development Index, and enhancements in the Electricity Composite Index significantly contribute to the economic growth of ECOWAS countries. Specifically, infrastructure investment is associated with a 0.01 per cent increase in the Gross Domestic Product (GDP) of the ECOWAS countries studied. In comparison, the African Development Index and the Electricity Composite Index are linked to increases in GDP by 0.292 per cent and 0.987 per cent, respectively, in the long term. Based on these outcomes, the study recommends that ECOWAS country authorities enhance policies to optimize government spending on infrastructure quality. Furthermore, adopting quality-enhancing and efficiency-driven financing policies in infrastructure is advocated to complement ECOWAS's ongoing infrastructural development efforts. The realization of these recommendations hinges on the availability of accurate data for informing decisions and guiding policymakers. Hence, the study underscores the need for the ECOWAS Commission to bolster its capacity for collecting reliable data on infrastructure variables and other indicators. It also proposes that future research should focus on promoting sub-regional peer-review mechanisms for infrastructure indicators among member states and establishing structures to fortify infrastructure in West Africa.

Impact of a free trade agreement on unemployment and productivity growth in Nigeria

This research investigates the impact of a free trade agreement on unemployment and productivity growth in Nigeria over the period 1981–2019. Data was collected from the World Bank Development Indicators (WDI) online database as of 2020. The study employed various analytical methods, including unit root tests, autoregressive distributed lag (ARDL) bound tests, error correction models (ECM), and cumulative sum (CUSUM) and cumulative sum of squares (CUSUMSQ) tests to assess data stability. The ARDL bound test statistics (F-statistics) of 4.26914 and 7.680624 exceeded the critical values for both I(0) and I(1) bounds, indicating a meaningful relationship between the variables. In the long run, physical capital, human capital development, and economic growth were found to have a negative impact on unemployment, with statistical significance. Additionally, sectoral productivity growth negatively influenced aggregate productivity growth. The error correction model (ECM) indicated a weak speed of adjustment, suggesting that the disequilibrium takes around 13% of the time to return to equilibrium annually. Based on these findings, the study recommends the implementation of safeguards to protect vulnerable industries, particularly in manufacturing and agriculture. Additionally, the government should focus on fostering human capital development by ensuring the availability of suitable support measures.

Bank performance and financial stability during the COVID-19 pandemic: lessons from the MENA region

PurposeThis study investigates the role of market concentration and efficiency in banking system stability during the COVID-19 pandemic. We empirically test the hypothesis that market concentration and efficiency are significant determinants of bank performance and stability during the time of crises, using a sample of 575 banks in 20 countries in the Middle East and North Africa (MENA).Design/methodology/approachThe main sources of bank data are the BankScope and BankFocus (Bureau van Dijk) databases, World Bank development indicators, and official websites of banks in MENA countries. This study combined descriptive and analytical approaches. We utilize a panel dataset and adopt panel data econometric techniques such as fixed/random effects and the Generalized Method of Moments (GMM) estimator.FindingsThe results reveal that market concentration negatively affects bank profitability, whereas improved efficiency further enhances bank performance and contributes to the banking sector’s overall stability. Furthermore, our analysis indicates that during the COVID-19 pandemic, bank stability strongly depended on the level of market concentration, but not on bank efficiency. However, more efficient banks are more profitable and stable if the banking institutions are Islamic. Similarly, Islamic banks with the same level of efficiency demonstrated better overall financial performance during the pandemic than their conventional peers did.Research limitations/implicationsThe main limitation is related to the period of COVID-19 pandemic that was covered in this paper (2020–2021). Therefore, further investigation of the COVID-19 effects on bank profitability and risk will require an extended period of the pandemic crisis, including 2022.Practical implicationsThis study provides information that will enable bank managers and policymakers in MENA countries to assess the growing impact of market concentration and efficiency on the banking sector stability. It also helps them in formulating suitable strategies to mitigate the adverse consequences of the COVID-19 pandemic. Our recommendations are useful guides for policymakers and regulators in countries where Islamic and conventional banking systems co-exist and compete, based on different business models and risk management practices.Originality/valueThe authors contribute to the banking stability literature by investigating the role of market concentration and efficiency as the main determinants of bank performance and stability during the COVID-19 pandemic. This study is the first to analyze banking sector stability in the MENA region, using both individual and risk-adjusted aggregated performance measures.

Challenges and barriers for gender-inclusive public transport policies and practice in Delhi, India

The importance of gender mainstreaming in transport services has been brought to focus by leading organisations such as the World Bank and Asian Development Bank. Commonly, women in South and Southeast Asian countries struggle with a public transport system that is not designed for them. National policy makers from these countries typically pick and choose when to follow international guidelines. The present study explores the challenges and barriers for implementation of international guidelines and standards on gender when designing inclusive public transport systems. Semi-structured interviews were undertaken with leading national policymakers and transport practitioners to gain an in-depth understanding of current practices in Delhi, India. Discussions with policymakers revealed a significant lack of willingness to consider women as a distinct user group, largely due to a male-dominated sector. Women, when rarely considered, are often categorized within the vulnerable user group. This makes any gender-specific travel requirements absent from policies and guidelines for transport practitioners to implement. Without any adequate gender-inclusive policies and government guidelines, practitioners are hamstringed into designing and implementing services which negates women’s travel needs. Interviews with transport practitioners also revealed major barriers to include funding constraints and poor national data resources. The study concludes with critical gaps in the pipeline from international to national to transport practitioners which prevents gender-specific travel needs from being met for women riding public transport

Political factors, carbon emissions, and life expectancy in India: Implications for the Sustainable Development Goal 3.

This study examines the nexus among political factors, carbon emissions, and life expectancy between 1990 and 2020 in India. Data for this study was extracted from the World Bank Development indicators, after which it was subjected to econometrics analysis. The results showed that on averages, between 1990 and 2020, India experienced a life expectancy around 65 years. Fossil fuel energy consumption represents a small proportion of total energy consumption in India. However, carbon emissions and life expectancy have a positive and significant relationship. Fossil fuel usage and life expectancy possess a significantly positive relationship (FFEC = 0.044128, P-value = 0.0023) Moreover, government effectiveness and life expectancy have a significant direct relationship. Political stability and life expectancy have a significant negative relationship in the country. We conclude that policymakers in India should ensure that carbon emissions and fossil fuel usage in India do not pose a threat to life expectancy. Efforts should be put in place by policymakers in India to increase life expectancy , a strategic component of SDG 3- good health and well being for all at all ages, by ensuring stable political climate, good governance and efficient health enhanced public policies.

The effects of the fourth industrial revolution on employment in South Africa: Variance decomposition analysis

This study investigates the effect of the fourth industrial revolution on levels of employment in South Africa. The fourth industrial revolution is proxied by ICT development with the components of mobile telephony, fixed-line telephony and internet penetration. The data used in this study were obtained from the World Bank's World Development Indicator database spanning from 1980 to 2019, while the labour market data was obtained from Statistics South Africa for the same time period. The study employed the Johansen Cointegration test and variance decomposition techniques to determine existence of long run equilibrium and possible shocks impact respectively. The results indicated that there exists a long run relationship between employment levels and the hypothesised determinants. The ICT revealed a positive relationship with employment in both the short and long run which is an indication of importance of fourth industrial revolution to employment in modern society. Policy recommendation were provided for the South African policy-makers in line with further deployment of ICT tools that promote employment.

Impact of Exchange Rate on Economic Growth: Evidence from Nigeria

The effect of the exchange rate on GDP growth in Nigeria from 1985–2021, according to this analysis. The World Bank's World Development Indicator (WDI) and the Central Bank of Nigeria's (CBN) Statistical Bulletin were used as secondary sources of data. The real exchange rate served as a stand-in for the actual exchange rate, while real gross domestic product was used to gauge economic growth. We used the Augmented Dickey-Fuller unit root test to find out how integrated the series was. The bound test was used to test for cointegration. The bound test found that the exchange rate and economic growth are related in the long term. This research used the autoregressive distributed lag technique to estimate the short- and long-term effects of the exchange rate on GDP growth. The ARDL analysis shows that there is a weak negative correlation between the exchange rate and GDP growth. According to the research, trade openness has a small but favorable effect on GDP growth. Furthermore, the research indicated that foreign exchange reserves significantly and positively impacted economic development. There was also a negative and statistically significant relationship between interest rates and GDP growth. The analysis found that the exchange rate did not have a significant role in determining Nigeria's economic development. Given the importance of a stable and predictable exchange rate in boosting economic development, the research suggests that monetary authorities implement a policy primarily aimed at stabilizing exchange rates.

The Influence of Intellectual Property Rights (IPR) on Asean+5’s International Trade (IT)

In accordance with the ASEAN IPR Action Plan 2016-2025, this study explores the connections and causality of Intellectual Property Rights (IPR) on international trade (IT) of ASEAN+5 countries represented by Malaysia, Thailand, the Philippines, Singapore, and Indonesia. According to this, international trade is measured in terms of trade (as a percentage of GDP). IPR is measured by patent applications filed by residents, patent applications filed by non-residents, industrial design applications filed by residents, and industrial design applications filed by non-residents. Along with IPR, the effect of government effectiveness (GE) on IT is also investigated. Foreign direct investment (FDI) and inflation are also utilized as control variables. This study adopts new growth theory as to further explain the variables involved. All ASEAN+5 data for the individual variables were derived from the World Bank Development database, and the panel dataset was investigated using the PFGLS estimator and Dumitrescu-Hurlin test for over 21-years period (2000-2020). The findings of this study revealed a strong effect between IPR and IT as well as a unidirectional relationship between IPR (except industrial design application, filed by residents) and IT for the ASEAN+5 region. The limitation of this study is that it only focused on five ASEAN countries, and the selection of IPR indicators was limited. Nevertheless, this study provides some important insights for policymakers and local merchants to focus and invest more on IPR in order to promote ASEAN's international trade in accordance with global norms.

Effects of gender equality and social costs of failure on early-stage entrepreneurship activity

PurposeIn this study, we question: how do the social costs of failure interact with gendered institutions to affect the early stage entrepreneurship activity? We address this question by employing the institutional theory and a unique dataset of 286,989 entrepreneurs across 35 countries.Design/methodology/approachTo test our hypotheses, we use a multilevel modeling analysis that nests individual entrepreneurs within the countries. To capture individual and country-level variables, we constructed a unique dataset that combines data from the Global Entrepreneurship Monitor (GEM), European Flash Barometer (EUFB), World Bank Development Indicator (WDI), World Bank Doing Business Report (WBDB) and World Economic Forum (WEF).FindingsOur analysis confirms that higher levels of the country-level gender equality positively correlate with the early-stage entrepreneurship activity of women. Moreover, we find that this positive relationship is amplified in institutional environments with high social costs of failure, suggesting that societal intolerance for failure can exacerbate the negative effect of gender inequality on the participation of women in entrepreneurship.Research limitations/implicationsOur research contributes to academic interest on the role of legitimacy in women entrepreneurship and is of particular interest to international business scholars, seeking a better understanding of multidimensional construction of institutional frameworks across countries. In this study, we set out to address an important research question: how do the social costs of failure interact with gendered institutions to affect entrepreneurship activity? Our study provides a comprehensive portrait of gendered institutions by including the framework conditions of education, healthcare and political power. We found that in societies with gender equality, the likelihood of individuals engaging in the early-stage entrepreneurship activity is higher and that the positive relationship is strengthened in national environments with high social costs of failure.Practical implicationsOur study findings underscore the need for government policies addressing global gender gaps in economic empowerment. In particular, policies assisting women in obtaining education in high-growth industries like information technology or providing funding to women-dominated industries may foster activity for women seeking to do business in such industries. Such policies connect the early-stage entrepreneurship activities with gender equality concerns and initiatives.Social implicationsRegarding the social costs of failure construct, specifically, prior studies generally focus narrowly on the context of failed entrepreneurs. We cast a wider net on men and women entrepreneurs’ entry decisions (irrespective of prior experience with business failure) and provide new views on the effects of social costs of failure on entrepreneurial ecosystems. We also extend the research on the legitimacy of women as entrepreneurs with the gender equality construct.Originality/valueUnlike previous studies, which often focus on the “3Ms” of market, money and management, our research adopts a more holistic perspective. We recognize that the opportunities and challenges faced by entrepreneurs are shaped not only by individual skills and resources but also by the broader macroenvironment. By incorporating the framework conditions of education, healthcare and political power, alongside the intricate interplay of social costs and norms, our study paints a comprehensive picture of the landscape of female entrepreneurship.

Assessing the Effects of Macroeconomic Variables on Economic Welfare in Ghana

This study employs the Auto-Regressive Distributed Lag (ARDL) bounds approach to investigate the relationship between Real GDP, which serves as an estimator of a nation’s economic performance, and selected macroeconomic variables. Using data from the World Bank Development Indicators spanning the period from 1993 to 2022, our analysis reveals distinct patterns in the interplay between inflation, labour productivity, public consumption expenditure, and real GDP. The results highlight the negative impact of inflation on economic well-being. Conversely, a positive correlation emerges between real GDP and both labour productivity and public consumption expenditure. These findings contribute nuanced insights to the ongoing discourse on the appropriateness of Real GDP. The observed negative influence of inflation on Real GDP underscores the importance of vigilant inflation management for sustained economic stability. On the other hand, the positive association between real GDP and labour productivity, as well as public consumption expenditure, implies potential avenues for fostering economic growth and prosperity. These findings not only enhance our understanding of the dynamic interactions within economic systems, but also challenge conventional perspectives on real GDP as an indicator of economic health. These insights provide valuable considerations for crafting effective policies that go beyond GDP figures to ensure holistic and sustainable national economic well-being.

Impact of Health Investment on Economic Development in Nigeria

This study examined the impact of health investment on economic development in Nigeria. Using secondary data sourced from Central Bank of Nigeria Statistical Bulletins and World Bank development indicators, World Bank Database for the period of 1981- 2020. It applied Augmented Dickey Fuller (ADF) and Philips-Perron (PP) tests for unit root which indicated that all the variables were stationary at first difference except gross fixed capital formation at level. The mixed order of the unit root tests necessitated the adoption of Autoregressive Distributed Lag (ARDL) bounds Cointegration technique. The study submitted that a strong evidence of cointegration among the variables exist. It prove that health investment variables (recurrent and capital health investment, public education expenditure, gross fixed capital formation and labour participation rate) have positive impacts on economic development in Nigeria except foreign exchange rate which reveals negative impact. The result of Pairwise Granger causality test indicated that there were uni-directional and bidirectional causality among health investment variables and economic development in Nigeria. Therefore, it concluded that health investment variables have positive and significant impacts on economic development in Nigeria except exchange rate. Moreover, this study recommended that health policy should be made by government to increase the budgetary allocation to health sector particularly on recurrent and capital public health investment, improve quality of education through statutory allocation to education sector, provide exchange rate policy that will encourage investment in human capital by individuals and private sector. Finally, the government should expand institutional capacity to produce qualified manpower, improve personnel salaries, wages and working conditions in health and education sectors

Effect of public health expenditure on maternal mortality ratio in the West African Economic and Monetary Union

IntroductionMaternal mortality in West African Economic and Monetary Union countries (WAEMU) is the highest compared with other regions in the world. The majority of health care sources in WAEMU are private and largely involve out-of-pocket expenditures, which may prevent healthcare access. Maternal mortality is an important indicator of the level of attention given to mothers before, during and after childbirth and thus of a system’s overall coherence and capacity for anticipation. Therefore, the objective of this study is to analyze the effects of public health expenditure on maternal mortality in WAEMU.MethodsThe study used panel data from the World Bank Development Indicators (WDI) from 1996 to 2018 covering 7 countries in the West African Economic and Monetary Union. The two-step least squares (2SLS) on health demand function was used to test the effect of public health expenditure on maternal mortality.ResultsPublic health care spending showed a significant negative association with maternal mortality. However, private health expenditure was positively associated with maternal mortality.ConclusionPublic health care expenditure remains a crucial component of reducing maternal mortality. In this region, the authorities need to increase public health spending to build more health centers and improve the equipment of existing infrastructures. Additionally, it is important to reduce the financial barriers for pregnant women. To this end, the operationalization of universal health insurance could help reduce these financial barriers by reducing direct household payments.

Impact of Domestic Investment on Economic Growth in Nigeria

This study investigated the impact of domestic investment on economic growth in Nigeria from the period 1990 to 2022. The dimensions that were used to proxy the independent variable are domestic investment, total exports, interest rate and inflation while real gross domestic product was used to proxy economic growth which is the dependent variable. Data used were sourced from secondary sources which includes; World Bank development indicators for various years and the Central Bank of Nigeria annual statistical bulletin. The Statistical Software employed to analyse the data was the eviews9. The results of the Unit root test show that domestic investment, total exports, interest rate and real gross domestic variables evaluated are all stationary after first difference- I(1)- while inflation rate was stationary at level- I(0)-. The Autoregressive distributed lag was used to analyze data. The results of the Autoregressive distributed lag estimates reveal that in both the long run and short run, domestic investment, total exports, coefficients have positive impact on real gross domestic product in Nigeria and both are also statistically significant at five percent level of significance in the long-run in Nigeria. Since it was found that increase domestic investment and total exports bring about economic growth, the study therefore, recommends amongst others that appropriate trade policies in favour of export expansion should be encouraged. The federal government of Nigeria should make concerted effort towards export promotion policy by encouraging domestic investors to go into more production. In order to achieve this, there is need for the government to reduce interest rate and tax rate.

Socio-Economic Infrastructure and Standard of Living in Nigeria

This study investigated the effect of socio-economic infrastructure on the standard of living in Nigeria for the period 1981–2021. The study used per capita income as a proxy for standard of living, while investments in health, education, telecommunications, and electric power supply were used as infrastructure. The exchange rate entered the model as a control variable. Annual time series data were obtained from secondary sources including the CBN annual statistical bulletin, and World Bank development indicators. The Eview10 Statistical Software was employed to analyze the data empirically. Due to the stationarity condition of the time series data, the study adopted the autoregressive distributed lag (ARDL) model to ascertain its objectives. The study revealed that, in the short run, the coefficient of electric power supply has a positive effect on standard of living and is significant, while in the long run, the coefficient of telecommunication infrastructure has a positive influence on standard of living and is significant. The study concludes that the place of power supply and communication cannot be undermined as Nigeria plans for sustainable economic growth and development. Therefore, it was recommended that there be a deliberate attempt to improve the quality of health care and education. Secondly, the federal government should see the provision of electric power and the reduction in airtime and internet data as the main drivers of the standard of living in Nigeria.

Monetary policies and economic management: Evidence from Sub-Saharan Africa

Purpose: The objective of this paper is to empirically analyze the application of monetary policies for economic management in Sub-Saharan African countries. The study used time series data from two African countries, specifically Kenya and Rwanda to examine the effect of broad money on the Gross Domestic Product growth rate. Research methodology: The study relied on secondary data; obtained from the World Bank Development Indicators database. The study analyzed the data using both descriptive and inferential statistical techniques. The hypothesis was tested using the Ordinary Least Squares (OLS) technique. The data were checked for normality and subjected to Unit Root tests using the Dickey-Fuller, Augmented Dickey-Fuller and Phillips-Perron text prior to further analysis. Results: The results confirmed the stationarity of the data. The descriptive statistics showed that all variables were normally distributed. The OLS result showed that broad money growth had a positive statistically significant effect on the GDP growth rate of both countries. Limitations: The study focused on two sub-Saharan African countries. Contribution: This study explicates the fact that in order to have a robust financial system, which eventually results in sustainable economic development, solid monetary policies must be maintained. Practical Implication: The implication of this study is the identification of how responsible, long-term fiscal and budgetary stance encourages economic growth. Novelty: The study focuses on the application of monetary policies in the economic management of Sub-Saharan African countries; with a particular emphasis on Kenya and Rwanda. These two countries have recorded remarkable growth in Sub-Saharan Africa compared to other countries.

The Economic Impact of Insecurity and Terrorism on the Nigerian Economy

This study examines the economic impact of insecurity and terrorism on the Nigerian economy from the period 1990-2022. One of the major challenges that has confronted Nigeria as a nation in recent times is that of insecurity and terrorism. The villainous activities of Bandits, unknown gunmen, Niger Delta militant, Boko Haram, and Fulani herdsmen, had been responsible largely for the loss of lives and properties in Nigeria. Some of their dastard and iniquitous activities include kidnapping especially school children, raping, armed robbery, ritual killings, suicide bomb attacks, sporadic and indiscriminate shooting of unarmed and innocent citizens, burning of police stations, churches, mosques, murder and destruction of oil properties. Annual time series data on our targeted variables were obtained from secondary sources including the Central Bank of Nigeria annual statistical bulletin and World Bank development indicators for various years. The Eview9 Statistical Software was employed to analyze the data empirically. The Unit root test was also used to test the stationarity of data. The data were analyzed using the Autoregressive distributed lag (ARDL). The results of the ARDL estimates reveal that in the long run, terrorism coefficient has negative economic impact on gross domestic product (economic growth) in Nigeria and it was also found to be statistically significant. Unemployment rate was also statistically significant at five percent and also has negative economic influence on GDP in the short run. The study recommends amongst others that the Nigerian government should apply any reasonable strategy possible to return peace to the country, in other to accelerate the pace of economic growth and development. Without doubt, a peaceful Nigeria, where there is the absence of terrorism and insecurity will surely pave way for a meaningful and systematic economic growth and development.