Modelling the influence of financial inclusion on the remittance growth nexus in Nigeria
In this paper, we explore the nexus between remittances and Nigeria’s economic growth over the period 1996 to 2020 from the perspective of financial inclusion (FI). The fully modified ordinary least square (FMOLS) and Granger (1969) causality methodologies were employed. The findings of...
| المؤلفون الرئيسيون: | , , , |
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| التنسيق: | مقال |
| اللغة: | English |
| منشور في: |
Faculty of Economics, Belgrade
2023-01-01
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| سلاسل: | Ekonomski Anali |
| الموضوعات: | |
| الوصول للمادة أونلاين: | https://doiserbia.nb.rs/img/doi/0013-3264/2023/0013-32642337137O.pdf |
| الملخص: | In this paper, we explore the nexus between remittances and Nigeria’s
economic growth over the period 1996 to 2020 from the perspective of
financial inclusion (FI). The fully modified ordinary least square (FMOLS)
and Granger (1969) causality methodologies were employed. The findings of
the FMOLS show that the increasing flow of remittances can significantly
contribute to the growth of the Nigerian economy. Also, the interaction of
financial inclusion and remittances has a significant impact on the
country’s development. The study concludes that the interaction of
remittances with the measures of financial inclusion will lead to economic
growth at a faster rate than when there is no interaction with financial
inclusion. Using the Granger causality test, the study revealed that the
relationship between financial inclusion and economic growth is a
unidirectional one. It shows that the impact of financial inclusion on
growth is conditional on remittances. Therefore, Nigeria’s authorities need
to work to strengthen all existing institutional weaknesses that allow
questionable transactions in financial markets and to promote a more
inclusive financial sector that will reduce the number of unbanked
individuals in the country. |
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| تدمد: | 0013-3264 1820-7375 |