The Impact of Agricultural Credit on the Growth of the Agricultural Sector in Angola

Result code in IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F60460709%3A41110%2F23%3A97453" target="_blank" >RIV/60460709:41110/23:97453 - isvavai.cz</a>

Result on the web

<a href="https://www.mdpi.com/2071-1050/15/20/14704" target="_blank" >https://www.mdpi.com/2071-1050/15/20/14704</a>

DOI - Digital Object Identifier

<a href="http://dx.doi.org/10.3390/su152014704" target="_blank" >10.3390/su152014704</a>

Result language

angličtina

Original language name

The Impact of Agricultural Credit on the Growth of the Agricultural Sector in Angola

Original language description

The ultimate goal of this paper was to examine the degree of elasticity between two variables, namely, agricultural credit and agricultural growth, in Angola in the period 2003–2022. Time series data were fitted into the ARDL test using various econometric techniques such as the ADF stationarity test, the Granger causality test, and the ordinary least squares method as well as a vector error correction model (VECM) to analyze the relationship between agricultural credit and agricultural economic growth, showing a causal relationship. Both the impacts through elasticities and the optimal point existing in this relationship were estimated. It was concluded that the impact of agricultural credit on agricultural GDP was 14.41%. The Granger causality test showed signs of a positive linkage between agricultural credit and agricultural GDP. However, there is a causal relationship between agricultural credit and agricultural GDP, in a unidirectional aspect. This result is consistent with most of the earlier studies reviewed in the literature, confirming that credit-oriented monetary policies can boost economic growth and, consequently, development in Angola. It is important for agricultural credit systems to be designed in a way that ensures equitable access, fair interest rates, and appropriate risk management mechanisms. Additionally, monitoring and evaluation mechanisms should be in place to assess the environmental and social impacts of credit programs on agricultural sustainability. It is worth noting that this is a first-of-its-kind study on the matter of the Angolan credit experience, specifically for the agricultural sector. Angola is still searching for a sustainable credit model that could be used as a catalyzer to boost growth and contribute to economic development.

Czech name

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Czech description

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Type

J_imp - Article in a specialist periodical, which is included in the Web of Science database

CEP classification

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OECD FORD branch

50202 - Applied Economics, Econometrics

Project

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Continuities

S - Specificky vyzkum na vysokych skolach

Publication year

2023

Confidentiality

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Name of the periodical

Sustainability

ISSN

2071-1050

e-ISSN

2071-1050

Volume of the periodical

15

Issue of the periodical within the volume

20

Country of publishing house

CZ - CZECH REPUBLIC

Number of pages

14

Pages from-to

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UT code for WoS article

001090194500001

EID of the result in the Scopus database

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