Beta
306845

The impact of governance on general government debt in lower-middle-income countries in Africa: A quantitative analysis

Article

Last updated: 25 Dec 2024

Subjects

-

Tags

-

Abstract

Recent borrowing expansion has greatly increased the public debt of developing countries, as a result, the governance of debt has gotten considerable attention with the primary goal of ensuring that the government's financial commitments are satisfied. Consequently, the effect of governance on general government debt is empirically investigated in this study using the six Governance Indices of the “World Bank". The study uses yearly time series data, with a focus on 17 African lower-middle-income countries from 2006 to 2021. The estimated approach “Dynamic System Generalised Method of Moments (System GMM)" is used. The study's empirical findings show that Government effectiveness" is statistically significant and has a positive coefficient, contrary to “Political Stability and Absence of Violence", "Regulatory Quality", and "Voice and Accountability" have statistically significant negative correlations with general government debt that signifies that debt lessens, implying that an increase in governance is related to lower levels of general government debt, highlighting the importance of governance in encouraging the effective use of government debt in these nations.

DOI

10.21608/jocu.2023.186325.1247

Keywords

Governance, Debt governance, General government debt, Lower-middle-income countries, Dynamic System Generalised Method of Moments (GMM)

Authors

First Name

شرين

Last Name

بشرى غالي

MiddleName

-

Affiliation

أکاديمية السادات للعلوم الادارية

Email

sherine_ghaly@yahoo.com

City

-

Orcid

0000-0001-5062-9761

Volume

20

Article Issue

19

Related Issue

42266

Issue Date

2023-07-01

Receive Date

2023-01-09

Publish Date

2023-07-01

Page Start

399

Page End

422

Print ISSN

2636-4166

Online ISSN

2735-3176

Link

https://jocu.journals.ekb.eg/article_306845.html

Detail API

https://jocu.journals.ekb.eg/service?article_code=306845

Order

306,845

Type

مقالات سیاسیة واقتصادیة

Type Code

1,296

Publication Type

Journal

Publication Title

مجلة السياسة والاقتصاد

Publication Link

https://jocu.journals.ekb.eg/

MainTitle

The impact of governance on general government debt in lower-middle-income countries in Africa: A quantitative analysis

Details

Type

Article

Created At

25 Dec 2024