African Stock Markets Boost Economic Growth, Policy Changes Urged
Stock market development in Africa positively impacts economic growth. Various panel estimation techniques were used to analyze the relationship between stock market indicators and economic growth. The results show that as stock markets in Africa grow and become more liquid, the economy also grows. It was also found that there is cross-sectional dependence among the countries studied. To promote economic growth, African policymakers should focus on enhancing stock market development through effective macroeconomic policies and proper regulation.