Self-Employment in Cameroon: Do Technical Education and Credit Availability Matter?

Purpose: The purpose of this study was to investigate the determinants of self-employment in the Ndop Central sub-division in the North West Region of Cameroon. Specifically, the study aimed to examine the usefulness of technical education and finance in the creation of self-employment in the sub-division. Methods: Using a survey research design, data were collected from primary sources with the help of a questionnaire. The convenience sampling technique was used to collect the needed data from a sample of 384 people from three villages of the sub-division. Binary logistics was used to analyze the data. Results: Results revealed that the coefficient of technical education was significant and negative (-2.6581). This finding signifies that graduates from the technical system of education are less likely to join self-employment as compared to graduates of general education background. Also, the availability of finance was seen to have a negative effect on the probability of being self-employed (-0.0632). It implies that individuals who have easy access to loans are less likely to be self-employed. Implication: The study is expected to guide the government to revisit the curriculum and focus of technical education in the country, as regards its contribution to the unemployment problem of the country. The study also points to the fact that those who have access to loans are not those who deserve it

Fintech Services and Entrepreneurship in Africa

  Purpose: This paper examines the effect of fintech on entrepreneurship to ascertain the role of financial technology services on individual entrepreneurial intention in five sub-Saharan African countries. Methods: The analysis was based on an extended probit model to determine the country-specific effect of mobile money account ownership (Fin) on individuals who used fintech services to start a business (Ent) as a measure of entrepreneurship. The impact of other control variables (X) such as credit access, education, and labor force participation on entrepreneurship (Ent) was also considered. Results: The findings show that fintech services through mobile money are significantly associated with an increased likelihood of entrepreneurship in The Republic of Congo, Kenya, Mauritius, Nigeria, and South Africa. Credit access, higher levels of education, and labor force participation are other drivers of entrepreneurship in Kenya, Nigeria, and South Africa. Implications: Country-specific characteristics play a significant role in engendering entrepreneurship; thus, the government should intensify efforts to diffuse and adopt fintech for optimal livelihood and economic transformation. Originality: Overall, this paper accounts for the role of technology penetration in financial services and contributes to the literature on entrepreneurship development in the African context. The research utilizes the World Bank Global Findex data, which is nationally representative, to provide insight into the subject matter.  Limitations: This paper's analysis relied on the 2017 World Bank Global Findex Database, the most recent data available. Although this may be perceived as insufficient, the findings were valid due to their alignment with similar outcomes in the literature 

Drivers of Financial Inclusion among Cocoa Producers in the Southwest Region of Cameroon

Purpose: Financial inclusion can considerably promote cocoa production and provide a buffer for the escape from poverty traps for cocoa-growing economies like Cameroon. However, the Southwest region of Cameroon still experiences a low level of cocoa production and poverty primarily due to financial exclusion. This article explores the drivers of financial inclusion in the region. Method: A stratified multistage sampling technique was used to survey 380 cocoa producers in the main cocoa-producing areas in the region through semi-structured questionnaires. Descriptive statistics were used to analyze the socio-economic variables and the probit model to analyze the drivers of financial inclusion, subject to the three major dimensions of financial inclusion; access to, use, and quality of financial services. Results: On average, the long distance of financial institutions (9.3 km), intermediate farm sizes (2.6 ha), and low annual income (1,125,863 FCFA) negatively influenced financial inclusion resulting in just 16.6% of farmers being financially included. The findings also revealed that financial inclusion is significantly enhanced by an increase in income, farm training, the closeness of formal financial institutions (FFIs), larger household size, and small-scale production at a 1% significance level, and more years of farming experience at 5%. Moreover, 51.3% of the major constraints to financial inclusion were accounted for by lack of collateral security, distant FFIs, and low income. Implications: Reducing the distance of FFIs by establishing more institutions with considerations on collateral, increasing income through extension services like farm training, and sound agronomic practices will enhance financial inclusion. Originality: The uniqueness of this study lies in the context of the socio-political crisis during which cocoa producers were interviewed and exploring how the crisis influenced financial inclusion through a host of factors. Moreover, besides just access to credit as considered by most studies in Cameroon, the current study considers the use and quality of formal financial services as well

Internally Generated Revenue (IGR) and the Economic Viability of States in Nigeria

Purpose: The purpose of this study is to investigate Internally Generated Revenue (IGR) and the Economic Viability of States in Nigeria using State Government Debt Stock. Specifically, the study seeks to determine the effect of IGR on State government expenditure. Methods: Secondary data were used for this study. It used an annual panel data set spanning from 1986 to 2021 for six states each from Nigeria's six geopolitical zones. A Panel Vector Error Correction Model (PVECM) was used as the method of analysis. Results: Results showed that the IGR of States in Nigeria had a positive effect on State government expenditure. The Impulse Response Function of expenditure to shocks from IGR indicates that IGR for the periods under analysis positively affected State government expenditure, increasing their expenditure profile for the majority of the period under analysis. The result of the variance decomposition test of State government total debt stock (TDS) shows that IGR had the greatest shock on the total debt stock of State governments in the country after its own shock. The findings also revealed a mixed and varied outcome, demonstrating both a positive and negative influence of IGR on the overall debt stock of the state government. Implications: The study is expected to contribute to good economic management, such as managing the debt load at reasonable levels, as well as adequate economic planning backed by cost-effective expenditure. It will also contribute to the economic sustainability of Nigerian states. The uniqueness of this research is obvious in its ability to address the statewide problem of over-dependence on the federal government’s allocation

Post-COVID-19 Inflation Dynamics in Bangladesh

Purpose: Bangladesh's economy has recently experienced elevated inflationary pressures, which significantly affect economic stability and growth. This study analyzes the factors driving inflation in Bangladesh and determines whether supply-side factors or demand-side pressures primarily influence it. Methods: The ARDL approach is used in this study's estimating process to use monthly secondary data from January 2015 to September 2024, available from different sources like Bangladesh Bank (BB) and Bangladesh Bureau of Statistics (BBS). This study utilized three separate models for scenario analysis to determine whether inflation dynamics are the same for the pre-COVID and post-COVID periods or over the entire period and whether supply-side or demand-side phenomena drive inflation. The rate of inflation is the dependent variable in the model; industrial production, import, inward remittance, exchange rate, and central bank policy rates (repo, reverse repo) are our independent variables, and the broad money supply is included as a control variable. A correlation matrix is also used to observe the connection among the variables. Results: This study's findings reveal a long-run relationship among industrial production, lag value of inflation, import, lag values of exchange rate, and broad money supply, but the central bank policy rates have no statistical significance for Bangladesh. This revealed that the channels through which monetary policy influences inflation may be weak or ineffective, or inflation may be driven more by supply-side factors than demand-side ones, reducing the effectiveness of monetary policy. Implications: The finding informs policymakers or experts that the recent inflationary trend is a supply-side phenomenon and will be adjusted over time. Originality: This study offers a story contribution by systematically analyzing the post-COVID-19 inflation dynamics in Bangladesh, distinguishing between supply-side and demand-side drivers. Unlike previous studies, which primarily focus on pre-pandemic inflation trends or general macroeconomic conditions, this paper examines explicitly the structural shifts in inflationary pressures caused by the pandemic’s aftermath. Limitations: Inflation is a multivariate variable, and while fiscal deficits may directly influence inflation, their data are only available annually. Therefore, we cannot include this variable in our article

Impact of the COVID-19 Pandemic on the Efficiency of the Banking Sector: A Study in the Context of Bangladesh

Purpose: The banking sector plays a significant role in strengthening a nation's economic growth. However, it faced special challenges during the COVID-19 pandemic, which affected banks' efficiency. Thus, this study aims to measure the effects of COVID-19 on banks' efficiency during and after the pandemic in Bangladesh. Methods: The banking sector's technical efficiency was evaluated using the meta frontier Data Envelopment Analysis approach, based on secondary data from 23 commercial banks listed on the Dhaka Stock Exchange (DSE). Banks were selected based on the percentage of market share in the Banking industry. The data covering 2020-2024 were obtained from publicly available annual reports and financial statements. Results: Findings indicate that banks in Bangladesh were significantly more efficient after COVID-19 and that their performance has recovered. They have an average technical efficiency score of 0.63, compared to 0.51 during the pandemic. Implications: These findings have the potential to help policymakers find opportunities for profit increase and help develop early preventive measures during crises. Originality: This pioneering study in Bangladesh assessed banking efficiency after COVID-19

Forecasting for Survival: Empirical Evidence on Financial Planning and Early-Stage Startup Resilience in the USA

Purpose: This study examines the role of financial forecasting in enhancing the survival of early-stage startups in the United States, where failure rates are exceedingly high due to financial mismanagement and capital planning issues. Methodology: Using a dataset of 500 simulated startups designed to mirror real-world U.S. startup characteristics, we construct a proxy for forecasting behavior based on firm-level language and multi-round funding patterns. An Ordinary Least Squares (OLS) regression model is used to estimate the impact of forecasting on firm longevity, controlling for factors such as total funding raised and team size. Findings: The results indicate that startups engaging in financial forecasting survive, on average, 14 months longer than those that do not, even after controlling for key observable variables. This finding underscores the substantive effect of proactive financial planning on startup viability. Implications: The study suggests that financial forecasting should be regarded as a critical component of economic infrastructure. It recommends integrating forecasting literacy into federal entrepreneurship initiatives, incubator programs, and innovation policy frameworks. Originality: This paper represents one of the pioneering attempts to quantify the effect of financial forecasting on startup survival, utilizing a simulated dataset that captures real-world funding dynamics. It positions financial forecasting not only as a managerial tool but as a public good vital to national innovation and economic resilience.

Tax Compliance in Indonesia: A Meta-Analysis

Purpose: This study aims to summarize existing research findings regarding the determinants of tax compliance in Indonesia by using Meta-analysis. Methods International databases (Scopus) and Indonesian-accredited journals (Sinta 2) are employed to collect data. A targeted search is conducted using the keyword “compliance” in connection with tax compliance, tax avoidance, tax evasion, and related terms. We used Harzing’s Publish application in searching for related papers. We begin with an initial sample of 71 meta-analyses and finally have 39 studies as the final sample of our literature review. Results: We found that a penalty is not the best way to solve compliance issues. In contrast to the traditional (enforcement) paradigm, our investigation revealed that sanctions could not fully explain compliance. Taxpayers should not feel heavily penalized when there is a delay in reporting. Sanctions that are low and less tangible make taxpayers underestimate existing sanctions. Furthermore, tax reform policies such as the Sunset policy (SP), are not regular provisions that are used consistently. SP is a particular tax policy that eliminates tax penalties for individual taxpayers who have recently registered and amended their tax returns. Implications: This study has substantial implications for the Directorate General of Taxes (GDT) concerning the policy approaches in dealing with tax non-compliance. The Indonesian tax authority needs to shift from sanction to voluntary compliance by framing a friendly approach in dealings with taxpayers. Originality: To our knowledge, this is the first study to review the determinants that influence tax compliance specifically in Indonesia using a meta-analysis lens. Limitations: Some important studies are not accessed because of budget limitations

Global Financial Crisis and the Nigerian Capital Market

Purpose: This paper examined the impact of the global financial crisis on the capital market in Nigeria from 1980-2018. It specifically aimed to determine the impact of the currency crisis and liquidity crisis on the capital market in Nigeria. Methods: The study was time series data based. Data were generated from the Central Bank of Nigeria Statistical Bulletin. The variables were subjected to descriptive statistics and the 'Augmented Dickey-Fuller' (ADF) unit root test prior to the 'Auto-Regressive Distributed Lag' (ARDL) model.  Results: The outcome of descriptive statistics demonstrated that the parameters were not normally distributed. Also, the ADF unit root test demonstrated that one of the parameters was stationary at I(0) while the remaining two were stationary at I(1). Based on the ARDL results, it was observed that in the short run, the financial crisis has an indirect influence on the performance of Nigerian capital markets. Liquidity crisis, a proxy for the depletion of external reserves has a strong influence on the capital market.  The long-run result showed that there is a long-run association amongst the variables. Implications: In view of these findings, the paper recommends that the government should fine-tune its policy mix to ensure that the capital market and the economy do not suffer from the global economic crisis as it takes place

Exploring the Determinants of Liquidity of Private Commercial Banks in Bangladesh: Moderating Effect of Bank Age

Purpose: The main objective of this study is to explore the critical bank-specific determinants of the liquidity of private commercial banks in Bangladesh. Methods: This research examined the financial statements of twenty private commercial banks in Bangladesh over thirteen years (2010–2022). Various statistical tests and analyses, including the F-test, Breusch and Pagan LM Test, Modified Wald Test, Pesaran CD Test, Wooldridge Test, and Feasible GLS Model, were employed to evaluate the panel data. Results: The regression results showed that the net interest margin, capital adequacy, financial leverage, credit quality, operating efficiency, and bank age are statistically significant variables influencing the liquidity of private commercial banks in Bangladesh. The study also indicates that a bank`s age moderates the impact of financial leverage, credit quality, and operating efficiency on liquidity. Implications: The study's theoretical implications deepen understanding of factors influencing bank liquidity, integrating bank age as a moderating variable. As far as the practice is concerned, it assists policymakers and bank managers in enhancing liquidity management techniques, guaranteeing financial stability, and promoting resilience within the banking industry. Originality: This study distinguishes itself by examining the moderating effect of bank age on liquidity determinants in private commercial banks in Bangladesh, a facet seldom explored in prior studies