Research on the Impact of Financial Resources on Industrial Growth in Sub-Saharan Africa

This study contributes to the literature on financial efficiency and industrial growth. We use the Autoregressive Distributive Lag (ARDL) method to find the impact of institutional financial quality on the industry sector's growth in 14 Sub-Saharan African countries from 1990 to 2020. Our results show that only gross fixed capital formation has long-run variables and a significant (at 1% level) causal effect on the magnitude of industrial value added. As for the short run, only credit has an effective (at a 1% level) causal impact on the magnitude of industrial value added. The error correction (EC) term shows a joint significance with the causality of all variables in the long term.