TITLE:
The Role of the Quality of Institutions in the Financial Development of CEMAC Countries
AUTHORS:
Pierre Ghislain Batila Ngouala Kombo, Guénolé Bongo Koumou
KEYWORDS:
Institutional Quality, Financial Development, Central Africa
JOURNAL NAME:
Modern Economy,
Vol.12 No.2,
February
26,
2021
ABSTRACT: The quality of institutions is increasingly
recognized as an indispensable factor in investment, business climate and
resource allocation. In this regard, the purpose of this paper is to analyze the
role of institutional quality in the financial development of CEMAC countries.
Using panel data over the period 2002 to 2018 and the DOLS technique, it is
found that, on the one hand, the quality of regulation and political stability
generally reduce the level of financial development in the CEMAC, and on the
other hand, the control of corruption and compliance with laws and regulations
contribute positively to the CEMAC’s financial development. These results make
it possible to identify the implications of economic policies aimed at
improving the quality of institutions.