📄 Abstract
The debt position of a country is crucial to the growth of its economy. We argue with empirical basis in this study that, external debt has impact on the growth of Ghanaâ??s economy. A time- series data, spanning from 1991-2019 was analyzed. The findings of the study suggested a statistically significant and inverse relationship between external debt and economic growth. It is also argued in the study that, Ghanaâ??s inflation regime has a significant impact on the growth of her economy. The study further verified the relationship between foreign direct investment and economic growth in Ghana. Results of the study revealed a significant and direct relationship between foreign direct investment in Ghana and the growth of the countryâ??s economy. A test on granger causality found no causal linkage between external debt and economic growth in Ghana. The contribution of the study was finally discussed and limitations stated to serve as a guide for future study.
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📚 How to Cite:
Adubofour Isaac, Mangudhla Tinashe, Dadzie Benjamin Mensah , THE IMPACT OF EXTERNAL DEBT ON ECONOMIC GROWTH IN GHANA , Volume 8 , Issue 9, september 2021, EPRA International Journal of Economics, Business and Management Studies (EBMS) , DOI: https://doi.org/10.36713/epra8389