Do migrant remittances spur financial development in Pakistan? evidence from linear and nonlinear ARDL approach
The study asseses the influence of migrant remittances on financial development over the period of 1976-2018 in Pakistan. This study has applied the linear autoregressive distributive lag (ARDL) model and nonlinear autoregressie distributed lag (NARDL) model to check the symmetric and asymmetric eff...
| Main Authors: | , , , |
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| Format: | Article |
| Language: | English |
| Published: |
SPCRD Global Publishing
2019
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| Online Access: | http://psasir.upm.edu.my/id/eprint/79425/1/Do%20migrant%20remittances%20spur%20financial%20development%20in%20Pakistan.pdf |
| _version_ | 1825951151019786240 |
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| author | Faheem, Muhammad Mohamed, Azali Farooq, Fatima Ali, Sajid |
| author_facet | Faheem, Muhammad Mohamed, Azali Farooq, Fatima Ali, Sajid |
| author_sort | Faheem, Muhammad |
| collection | UPM |
| description | The study asseses the influence of migrant remittances on financial development over the period of 1976-2018 in Pakistan. This study has applied the linear autoregressive distributive lag (ARDL) model and nonlinear autoregressie distributed lag (NARDL) model to check the symmetric and asymmetric effect of remittances. Results of the ARDL and NARDL bound test confirm remittances, FDI, real GDP and inflation significantly contributing to financial development. The outcomes of ARDL and NARDL have also confirmed the significant positive effect of migrant remittances on financial development in long-run. The asymmetric ARDL results show the existence of remittances nonlinear effect on financial development. Specifically, the study found remittances decrease have a significant impact while remittances increase have no any significant effect on financial development. Based on findings, this study recommends the plan for the policymakers of recipient countries, especially Pakistan, could harvest the potential gain of migrant remittances though positive asymmetric association with financial sector development. |
| first_indexed | 2024-03-06T10:25:35Z |
| format | Article |
| id | upm.eprints-79425 |
| institution | Universiti Putra Malaysia |
| language | English |
| last_indexed | 2024-03-06T10:25:35Z |
| publishDate | 2019 |
| publisher | SPCRD Global Publishing |
| record_format | dspace |
| spelling | upm.eprints-794252021-04-05T23:51:22Z http://psasir.upm.edu.my/id/eprint/79425/ Do migrant remittances spur financial development in Pakistan? evidence from linear and nonlinear ARDL approach Faheem, Muhammad Mohamed, Azali Farooq, Fatima Ali, Sajid The study asseses the influence of migrant remittances on financial development over the period of 1976-2018 in Pakistan. This study has applied the linear autoregressive distributive lag (ARDL) model and nonlinear autoregressie distributed lag (NARDL) model to check the symmetric and asymmetric effect of remittances. Results of the ARDL and NARDL bound test confirm remittances, FDI, real GDP and inflation significantly contributing to financial development. The outcomes of ARDL and NARDL have also confirmed the significant positive effect of migrant remittances on financial development in long-run. The asymmetric ARDL results show the existence of remittances nonlinear effect on financial development. Specifically, the study found remittances decrease have a significant impact while remittances increase have no any significant effect on financial development. Based on findings, this study recommends the plan for the policymakers of recipient countries, especially Pakistan, could harvest the potential gain of migrant remittances though positive asymmetric association with financial sector development. SPCRD Global Publishing 2019 Article PeerReviewed text en http://psasir.upm.edu.my/id/eprint/79425/1/Do%20migrant%20remittances%20spur%20financial%20development%20in%20Pakistan.pdf Faheem, Muhammad and Mohamed, Azali and Farooq, Fatima and Ali, Sajid (2019) Do migrant remittances spur financial development in Pakistan? evidence from linear and nonlinear ARDL approach. Review of Economics and Development Studies, 5 (4). pp. 869-880. ISSN 2519-9692; ESSN: 2519-9706 http://reads.spcrd.org/index.php/reads/article/view/175 10.26710/reads.v5i4.905 |
| spellingShingle | Faheem, Muhammad Mohamed, Azali Farooq, Fatima Ali, Sajid Do migrant remittances spur financial development in Pakistan? evidence from linear and nonlinear ARDL approach |
| title | Do migrant remittances spur financial development in Pakistan? evidence from linear and nonlinear ARDL approach |
| title_full | Do migrant remittances spur financial development in Pakistan? evidence from linear and nonlinear ARDL approach |
| title_fullStr | Do migrant remittances spur financial development in Pakistan? evidence from linear and nonlinear ARDL approach |
| title_full_unstemmed | Do migrant remittances spur financial development in Pakistan? evidence from linear and nonlinear ARDL approach |
| title_short | Do migrant remittances spur financial development in Pakistan? evidence from linear and nonlinear ARDL approach |
| title_sort | do migrant remittances spur financial development in pakistan evidence from linear and nonlinear ardl approach |
| url | http://psasir.upm.edu.my/id/eprint/79425/1/Do%20migrant%20remittances%20spur%20financial%20development%20in%20Pakistan.pdf |
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