Financial Deepening and Economic Growth in Ethiopia
| dc.contributor.advisor | Sime, Zerayehu (PhD) | |
| dc.contributor.author | Wami, Sisay | |
| dc.date.accessioned | 2021-12-09T06:16:12Z | |
| dc.date.accessioned | 2023-11-04T10:32:12Z | |
| dc.date.available | 2021-12-09T06:16:12Z | |
| dc.date.available | 2023-11-04T10:32:12Z | |
| dc.date.issued | 2021-06 | |
| dc.description.abstract | This paper focus on examining the effect of financial deepening on economic growth in Ethiopia for the period ranges from 1980-2019. This paper used time series econometrics model which was estimated by Autoregressive Distribute Lag (ARDL) to analysis the presence of both long-run and short-run effect of financial deepening on economic growth in Ethiopia. The financial deepening proxies used in this study is broad money to GDP ratio, private sector credit to GDP ratio, bank asset to GDP ratio and bank deposit to GDP ratio and labor, saving, trade openness and dummy variable for regime change as control variable. The empirical investigation shows that among the financial proxy used in this study broad money and private sector credit positively and significantly affect economic growth whereas bank asset and bank deposit negatively and significantly affect economic growth of Ethiopia. In addition, except the regime change labor force, domestic saving and trade openness has a positive and significant impact on economic growth. The result of the study shows that all financial deepening proxy’s which includes broad money, private sector credit, banks asset and bank deposit has a significant influence on economic growth with different sign. Finally, this study recommends that the control imposed on the private sector should be relaxed, deposit mobilized should canalized to their most productive and profitable project, financial sector should focus on technological advancement, innovation and product variety. Secondary market should also be given more attention carefully in order to increase financial intermediaries. | en_US |
| dc.identifier.uri | http://etd.aau.edu.et/handle/123456789/29145 | |
| dc.language.iso | en | en_US |
| dc.publisher | A.A.U | en_US |
| dc.subject | Autoregressive Distributed Lag | en_US |
| dc.subject | cointegration | en_US |
| dc.subject | Economic growth | en_US |
| dc.subject | Financial Deepening | en_US |
| dc.subject | granger causality | en_US |
| dc.title | Financial Deepening and Economic Growth in Ethiopia | en_US |
| dc.type | Thesis | en_US |