Financial Structure and Economic Growth

Financial structure and economic growth of developing African economies; evidence from Nigeria, Kenya and South Africa economies. The specific problem examined in the study is the seemingly non-performance of SSA economies in the wake of concerted efforts in evolving the financial structure of this countries with the expectation of enhancing growth. The findings amongst others show that financial structure in BCPS, MC, LLR, TR and VTS had no significant relationship with GDP in the selected developing African economies. However, the result further discovered that there was no significant relationship between financial structure and economic growth from the panel analysis for both generalized least square and granger causality results. Thus, the study concludes that financial structure does not have significant relationship with economic growth in the developing African economies. Hence, the study recommends among others that financial structure should be made environment friendly so as to enhance ease of trading and improve the level of participation of investors thus boosting turnover ratio and economic growth at large in the selected developing African economies.