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400409

The role of renewable energy in supporting economic growth in North Africa from 2000 to 2023

Article

Last updated: 04 Jan 2025

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Abstract

This study examines the role of renewable energy in supporting economic growth in North Africa, focusing on Egypt, Libya, Tunisia, Algeria, and Morocco. Using panel data from 2000 to 2023, we employ a Generalized Method of Moments (GMM) approach and Granger causality tests to analyze the relationship between renewable energy adoption and economic growth. Our findings reveal a significant positive impact of renewable energy on economic growth in the region, with a 1% increase in renewable energy share associated with a 0.1523% increase in economic growth. Granger causality tests indicate a unidirectional causality from renewable energy to economic growth, supporting the "growth hypothesis" in the energy-growth nexus literature. The study also considers the effects of foreign direct investment, human capital, trade openness, inflation, and governance on economic growth. Our results suggest that policies promoting renewable energy adoption could yield dual benefits of fostering sustainable development and stimulating economic growth in North African countries. These findings have important implications for policymakers in the region, highlighting the potential of renewable energy as a catalyst for economic development. 

DOI

10.21608/cfdj.2024.319853.2045

Keywords

renewable energy, Economic growth, North Africa, GMM, Granger causality

Authors

First Name

ayman

Last Name

salah eldin ibrahim

MiddleName

-

Affiliation

iaems

Email

resala7000@gmail.com

City

-

Orcid

-

First Name

waleid

Last Name

Ibrahim

MiddleName

-

Affiliation

مجلس الوزراء

Email

waleidibrahim@pg.cu.edu.eg

City

القاهرة

Orcid

-

Volume

6

Article Issue

1

Related Issue

52472

Issue Date

2025-01-01

Receive Date

2024-09-10

Publish Date

2025-01-01

Page Start

687

Page End

712

Print ISSN

2682-3403

Online ISSN

2682-4531

Link

https://cfdj.journals.ekb.eg/article_400409.html

Detail API

https://cfdj.journals.ekb.eg/service?article_code=400409

Order

400,409

Type

المقالة الأصلية

Type Code

1,242

Publication Type

Journal

Publication Title

المجلة العلمية للدراسات والبحوث المالية والتجارية

Publication Link

https://cfdj.journals.ekb.eg/

MainTitle

The role of renewable energy in supporting economic growth in North Africa from 2000 to 2023

Details

Type

Article

Created At

30 Dec 2024