Financial Development and Economic growth in Cote d'Ivoire: The case of a Small Economy

Scientific Study from the year 2011 in the subject Economics - Economic Cycle and Growth, grade: none, Université de Cocody, Abidjan (The UFR of Economics and Management), course: Teacher's publication, language: English, abstract: The present paper analyzes theoretically and empirically the link between financial development and economic growth in the Ivorian economy. To that end, the contribution of financial development to economic growth is assessed through the broad money (M2) as percentage of GDP ratio (M2/GDP), private credit on domestic credit (CE/CI), liquid liability of out of gross domestic product (DQM/M2), indicating the banking system¿s expansion in the mobilization of saving. The analysis is carried through a VAR model.

Key words: Financial development, Economic growth, Velocity of money, risk.

JEL Classification: C32, F41, F43