IDEAS home Printed from https://ideas.repec.org/a/mth/ieb888/v2y2016i1p1-14.html
   My bibliography  Save this article

Exchange Rate Variability and Manufacturing Sector Performance in Ghana: Evidence from Cointegration Analysis

Author

Listed:
  • Abdallah Abdul-Mumuni

Abstract

This study examined the effect of exchange rate variability on manufacturing sector performance in Ghana. Using time series data from the period 1986-2013 and employing the autoregressive distributed lag (ARDL) approach, the empirical results show that there exists both a short as well as long run relationship between exchange rate and manufacturing sector performance. Thus, in Ghana as the exchange rate appreciates, the manufacturing sector performance improves and as it depreciates, the sector is adversely affected. In view of this, it is recommended that policy should be put in place to regulate the importation of goods that could be locally produced so as to improve the performance of the manufacturing sector. In addition, the government should ensure that there is regular electricity supply, good roads, water and a reliable telecommunication system so that the manufacturing sector can perform effectively and efficiently in order to achieve a considerable rate of economic growth.

Suggested Citation

  • Abdallah Abdul-Mumuni, 2016. "Exchange Rate Variability and Manufacturing Sector Performance in Ghana: Evidence from Cointegration Analysis," Issues in Economics and Business, Macrothink Institute, vol. 2(1), pages 1-14, June.
    • Handle: RePEc:mth:ieb888:v:2:y:2016:i:1:p:1-14
    as

    Download full text from publisher

    File URL: http://www.macrothink.org/journal/index.php/ieb/article/view/9626
    Download Restriction: no
    File URL: http://www.macrothink.org/journal/index.php/ieb/article/view/9626
    Download Restriction: no
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Emmanuel Buabeng & Enock Kojo Ayesu & Opoku Adabor, 2019. "The Effect of Exchange Rate Fluctuation on the Performance of Manufacturing Firms: An Empirical Evidence from Ghana," Economics Literature, WERI-World Economic Research Institute, vol. 1(2), pages 133-147, December.
    2. Ashok Babubudjnauth & Boopen Seetanah, 2021. "An empirical analysis of the impacts of real exchange rate on GDP, manufacturing output and services sector in Mauritius," International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 26(2), pages 1657-1669, April.
    3. Peter Nuhu & Dramani Bukari, 2021. "An analysis of export, import and exchange rate oscillation in Ghana," International Journal of Economic Policy Studies, Springer, vol. 15(2), pages 301-327, September.
    4. Anthony Orji & Jonathan E. Ogbuabor & Chiamaka Okeke & Onyinye I. Anthony-Orji, 2018. "Another Side of the Coin: Exchange Rate Movements and the Manufacturing Sector in Nigeria," Journal of Infrastructure Development, India Development Foundation, vol. 10(1-2), pages 63-79, June.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:mth:ieb888:v:2:y:2016:i:1:p:1-14. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Technical Support Office (email available below). General contact details of provider: http://www.macrothink.org/journal/index.php/ieb .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.