West African Monetary Policy, External Shocks and Economic Growth Dynamics: An S-Var Model

Abstract

As a result of the West African region's continuous political and economic instability, various economies have used monetary policy changes to respond to shocks from macroeconomic causes. Scholars disagree on the mechanisms of monetary policy, external shocks, and macroeconomic activity links in an economy, according to the available literature in both inter-regional and intra-regional evaluations. This article promotes understanding and management of external shocks in monetary policy by focusing on two key goals. (1) To investigate external shocks, macroeconomic performance, and the dynamics of monetary policy in Western African countries. (2) Use the S-VAR method of estimate to investigate the impact of these economic indices on monetary policy dynamics in Nigeria, Ghana, Cameroon, and Niger. The S-VAR method was chosen because it is useful for analysing macroeconomic shocks and monetary policy transmission. The findings reveal that the West African countries are so interconnected, any change in the price of non-oil commodities would have a significant impact on the exchange rate, which will be channelled through policy rates to GDP. We recommend and emphasise the need of diversifying member countries' productive and export bases rather than continuing to rely on one or a few items as the primary source of income.

Strategies for Knowledge Sharing Among Rice Farmers: A Ghanaian Perspective

“…The challenges include pest infestation, less quality of rice grains and difficulties in proper fertilizers application (Tinsley 2009:7). These challenges faced by rice farmers have been attributed to the fact that there are limited knowledge sharing on best rice farming practices, even in rice farming communities where usable knowledge exists (Muhammed,, Tela and and Ab Wahab, 2022;Tsinigo and Behrman, 2017:49). The challenges of knowledge sharing practices among rice farmers, is a crucial factor accounting for the low rice productivity in Ghana (Donkor, Matthews and Ogundeji 2018:155).…”

“…The agricultural sector, in general, is dominated by smallholder farmers mainly in rural areas. Among the three regions where rice is predominantly produced in Ghana, are the Eastern Region, Northern Region and Ashanti Region (Cadger et al, 2016:35;Muhammed, Tela, and Wahab, 2022). The study was conducted in the Eastern Region of Ghana because rice farmers in this region are estimated to contribute more than half of all rice produced in Ghana for local consumption (Braimah, and Rosenberg, 2022;Donkor, Matthews and Ogundeji, 2018:157).…”

“…For instance, the average rice yields potential is 10t/ha; however, the global average rice yield has hovered around 7-8 t/ha, with average yield from developing countries hovering around 4-5t/ha (Moglia et al, 2018:86). The rice production in Ghana has not paralleled the growing preference for rice meals, necessitating importation from other countries to augment rice consumption (Muhammed, Tela and Ab Wahab, 2022;Tinsley, 2009:14). Part of the problems contributing to low rice yield, especially in developing countries including Ghana, include lack of technology and efficient knowledge sharing practices and knowledge management in general among smallholder farmers (Tariq et al, 2018:73).…”