Papers by Faridun Nurmatov
External debt is considered as a significant source of income for developing countries. However, ... more External debt is considered as a significant source of income for developing countries. However, a group of sub-Saharan countries classified as HIPCs including Ethiopia, have continued to experience difficulties in managing and serving their huge stock of external debt. This paper estimates empirically the impact of external debt on economic growth in Ethiopia to determine the existence of a 'debt overhang' and/or 'crowding out' effects using time series data for the period 1983/84 to 2012/13. The Johansen Maximum Likelihood approach was used to test for a long-run relationship among the variables and Vector error correction model (VECM) used to estimate the short-run impacts. The empirical result suggests the existence of longrun relationship between real GDP and external debt.
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Papers by Faridun Nurmatov