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This study investigates the role of economic and political institutions as drivers of renewable energy production in Africa. To achieve this, the study employs panel data of 41 African countries from 2000 to 2017. To deal with endogeneity challenges associated with panel data, we use the two-step Systems Generalized Method of Moments (SGMM). Generally, we find evidence that robust economic institutions are relevant to increasing the level of renewable energy production in Africa. Second, the disaggregated measures of economic institutions show that both size of government and Freedom to trade internationally have a positive effect on renewable energy production. On the contrary, an increase in legal system and property rights reduces the level of renewable energy production. Third, the study finds that political institutions moderate the relationship between economic institutions and renewable energy production. Therefore, toward the goal of promoting SDG 12, governments in Africa should actively strengthen economic institutions to enhance responsible production of energy. However, such efforts will be much more fruitful if the level of political institutions is also strengthened. [ABSTRACT FROM AUTHOR]

This paper examines the role that trade liberalisation policies play in attracting FDI flows to African economies from 2000 to 2017. This study contributes to the extant literature on the relevance of trade liberalisation policies in developing economies and in particular, African Countries. By employing new measures for trade liberalisation policies, the study estimated a System Generalized Method of Moment model to examine the relationship between trade liberalisation policies and FDI inflows to Africa. The findings suggest that the institutionalisation of policies to enhance trade liberalisation would be germane in attracting higher levels of FDI flows to African economies. [ABSTRACT FROM AUTHOR]

This article examines the role of institutional structures in the relationship between trade openness and financial development in sub‐Saharan economies. The study is based on empirical data from sampled sub‐Saharan African countries for a period of 1996–2017. The system generalized method of moment was employed to estimate the models. The findings suggest that, even though trade openness has a positive significant influence on the level of financial development in sub‐Saharan African economies, this relationship is enhanced through the presence of good institutions in these economies. Thus, for these economies to realize the full benefit of the effect of trade openness on financial development, they need to strengthen their institutions. [ABSTRACT FROM AUTHOR]

Using daily data spanning from January 2, 1998 to December 20, 2011, the study investigated the cointegration and the Granger causality relationships between exchange rates and stock prices in Ghana. Augmented Dickey-Fuller test was used to test for unit root process in the data series and the results show that both variables are integrated at order one, I (1). The Engle-Granger (1987) two-step cointegration test was used to test for cointegration between the two variables. The results show that there is no cointegration relationship between the two. Also, a structural break in the relationship between the two variables after the redenomination of the Ghana's currency (Cedi) on July 3, 2007 was noticed. In effect, VAR between the stock price and exchange rate returns for pre-redenomination and post-redenomination sub-sample periods and consequently test for Granger causality. Unidirectional causality from exchange rates to stock prices before the redenomination but no causality between the two after the redenomination of the cedi. [ABSTRACT FROM AUTHOR]

The impact of debt structure on financial performance of banks in Ghana remains an important research issue. According to Ghana Banking Survey (2010), the assets of the banks have changed, competition has increased and return on equity has been falling. The present study, therefore, attempts to empirically investigate the impact of debt structure, which is an important component of capital structure, on the profitability of banks listed on the Ghana Stock Exchange, covering the period 2000-2010, using a relatively elongated panel dataset and a robust estimation technique. The study provides an empirical conclusion that listed Ghanaian banks use 80.23% debt and 17.77% equity, and hence the capital structure of Ghanaian banks is hugely skewed towards debt. However, the debt structure of listed Ghanaian banks indicates more than 81% short-term debt and less than 9% long-term debt. Thus, the impact of capital structure on financial performance of Ghanaian listed banks is such that short-term debt positively influences profitability and long-term debt negatively affects profitability. [ABSTRACT FROM AUTHOR]