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Duration of Support and Financial Health of Business Support Structures in Burkina Faso, Cameroon, and Ghana: A Micro-Econometric Analysis

Author

Listed:
  • Jean C. Kouam

    (Yaoundé, Cameroon)

  • Simplice A. Asongu

    (Yaoundé, Cameroon)

  • Bin J. Meh

    (Yaoundé, Cameroon)

  • Robert Nantchouang

    (Yaoundé, Cameroon)

  • Fri L. Asanga

    (Yaoundé, Cameroon)

  • Denis Foretia

    (Yaoundé, Cameroon)

Abstract

Access to finance is perceived as one of the major problems facing businesses in Sub-Saharan Africa, as well as the structures that support them in their development. This paper aims to measure the probability that a support structure with given characteristics, specific services to entrepreneurs and some technical capacities will face large-scale financial problems. We estimate a multinomial logistic model using a pool of disaggregated data collected by the Nkafu Policy Institute in a survey of 79 business support structures in Burkina Faso, Cameroon and Ghana in 2021. Our results show that the financial health of a business support structure is not fundamentally dependent on the duration of support, but rather on other factors related to the quality of services offered to entrepreneurs.

Suggested Citation

  • Jean C. Kouam & Simplice A. Asongu & Bin J. Meh & Robert Nantchouang & Fri L. Asanga & Denis Foretia, 2022. "Duration of Support and Financial Health of Business Support Structures in Burkina Faso, Cameroon, and Ghana: A Micro-Econometric Analysis," Working Papers 22/048, European Xtramile Centre of African Studies (EXCAS).
    • Handle: RePEc:exs:wpaper:22/048
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    More about this item

    Keywords

    Duration of support; Financial Health of Businesses; Sub-Saharan Africa; Multinomial logit model;
    All these keywords.

    JEL classification:

    • C13 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Estimation: General
    • C25 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions; Probabilities
    • M20 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Economics - - - General
    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa

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