Ressources Naturelles et Développement Financier en Afrique Subsaharienne.

Abstract

The objective of this paper is to analyse the influence of natural resource revenues on the financial development of 26 countries over the period 2000-2018. To achieve this objective, two panel threshold effect methodologies are used. Following the econometric estimations, we find that there is a non-linear relationship between resource revenues and the level of financial development. These results confirm the existence of a specific threshold of 2.26 (% of GDP) of total natural resource rents at which natural resources (forestry and minerals) positively (negatively) affect financial development. Thus, as a policy implication of economic policy, there is a need for natural resource owners to place greater emphasis on the responsible and efficient management of resource revenues. And reduce dependence on natural resources through economic diversification and improvement of the institutional framework of countries.