Browsing by Author "Shalemu Asnake"

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    Determinants of Bank‘s Deposit in Ethiopia: A case of Commercial Bank of Ethiopia
    (Addis Ababa University, 2019-06) Shalemu Asnake; Habtamu Berhanu
    The main objective of this study is to identify determinants of deposit mobilization in commercial bank of Ethiopia. Accordingly, the researcher adopts quantitative research approach. The reason for using such method on this study is due to usage of secondary data for analyzing the determinants of bank deposit. In this study time series data covering 1998 and 2018 was analyzed. First, the time series data were assessed using descriptive statistics for the variables as well as the test for unit root test, heteroskedasticity, autocorrelation and normality testing to know if the assumptions of CLRM violated or not. Accordingly the result of Unit root test (i.e. the data is stationery at first level both ; Augmented Dickey fuller test and Phillips-Peron tests ), Model Stability test(i.e. the study model was stable) , Heterodosicity test (there is no heteroscedasticity problem ), Autocorrelation test(as long as explanatory variables, regardless of their true significance there is no evidence for the presence of autocorrelation on the study) and Normality test(i.e. the study data were consistent with a normal distribution). Estimation was done using Ordinary Least Squares technique by E-views9 statistical package. The results from economic analysis showed that deposit has a positive relationship with GDP, individual foreign remittance, deposit interest rate and number of branch opening and a negative relation with inflation. Among these variables, branch opening is an important strategy for deposit mobilization, it is highly significant than others. Individual foreign remittances is also significantly affects CBE’s deposit next to branch opening. The data gathered from different organs were depicted in graph and it magnifies or clearly shows growth of each variables. Finally, the study ends with recommendations on determinants of deposit mobilization
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    Determinants of Export Earnings in Ethiopia: a Time Series Analysis
    (A.A.U, 2025-06-16) Shalemu Asnake; Habtamu Adane
    This study examines the determinants of Ethiopia’s export earnings using annual time series data from the National Bank of Ethiopia (NBE) spanning 1991–2024, motivated by the country’s persistent underperformance in export earnings despite its economic potential. The research addresses the critical question: What factors explain Ethiopia’s export earnings dynamics, and how can policymakers enhance export performance to address foreign exchange shortages and drive structural transformation. The primary objective is to identify long-run and short-run determinants of export earnings to inform evidence-based policy interventions, employing Johansen cointegration and Vector Error Correction Models (VECM) to analyze relationships between export earnings and five key variables: real gross domestic product, terms of trade (ToT), trade openness, real effective exchange rate (REER), and infrastructure (proxied by real capital expenditure). Results indicate that in the long run, real gross domestic product, terms of trade, trade openness, and infrastructure significantly boost export earnings, while real effective exchange rate exerts a negative effect, reflecting competitiveness challenges from currency overvaluation. Short-run estimates align with expectations, showing positive impacts from all variables, including real effective exchange rate (consistent with the J-curve effect).Thus high and sustainable economic growth, improvements in infrastructural facilities, and maintaining a stable exchange rate policy as well as working to reduce trade constraint mechanism should be given due emphasis so as to improve Ethiopia's export earnings.