Society of African Journal Editors

African Journal of Economic Policy

Public debt and growth in selected West African countries: Implications for economic integration

Authors: AH Ekpo

Journal: African Journal of Economic Policy

Based on an eclectic approach, we examined the public debt – growth nexus in selected SSA countries. Panel regression results indicate that debt/GDP and rates of inflation had negative relationship with the growth in real GDP and its per capita measure for SSA. For the ECOWAS countries, debt/GDP was  positively related to growth in real GDP and its per capita measure while rate of inflation had a negative relationship. The global economic crisis had no impact on the debt-growth link in the ECOWAS countries. For economic  integration and eventual monetary union to be sustainable, countries in ECOWAS must ensure fiscal prudence in the management of their economies. Keywords : Public debt, economic integration, debt sustainability, West Africa JEL Classification: F34; H6; F15