Browsing by Author "Kabinga, Mundia"

Now showing 1 - 20 of 29
  • Thumbnail Image
    Item
    Open Access
    Adoption of foreign institutional practices and industrial development: Understanding the cross-level interaction effects
    (2021) Matenge, Tendy Moffat; Kabinga, Mundia; Zoogah, Baniyelme D
    Foreign market knowledge has been at the epicentre of international business research for decades and differences in institutional practices across countries have been found to influence performance of internationalised firms. Dominant scholarship in this area has been significantly influenced by insights and experiences from developed countries, usually to the detriment of understanding the influence of foreign institutional knowledge acquisition at both the firm and country levels in developing economies. Using a developing country lens, the objective of this study is to determine if foreign institutional practices acquired by SSA firms has a significant effect on their home country's industrial development. The study employs a quantitative cross-sectional survey research approach and collects data from 874 formally registered manufacturing firms in 28 SSA countries. The countries are stratified along two dimensions, noticeable and unnoticeable levels of industrial development. This allowed for cross-country comparison across the industrial development spectrum. The data collected was subsequently analysed in MLWin 3.02 for multilevel and involved a two-tier regression analysis to examine the relative importance of foreign institutional practice adoption as a source of variation in the home country's industrial development. The study finds statistically significant influences with respect to foreign practice adoption. This implies that adoption of foreign institutional practices by an internationalised firm from a foreign country benefits the home country. This study further opens new discussions about firm internationalisation and home country industrial development by demonstrating the significant influence of interaction effects between adoption of foreign institutional practices by an internationalised firm and four firm level variables and one country level variable on home country's industrial development.
  • Thumbnail Image
    Item
    Open Access
    Alternative financing of teacher education in South Africa: Stakeholder affinity
    (2018) Saba, Namhla; Kabinga, Mundia
    Adequately prepared quality Maths and Science teachers are crucial to addressing South Africa’s poor learner results and the associated skills development shortages. South Africa has been characterised by dismal and worsening matric SMT results over the past two decades, which jeopardises current and future prospects of a successful transitioning in the fourth industrial revolution. Critically underpinning this dismal performance are teacher quality and quantity. South Africa’s public education sector is known for its ill-prepared and unqualified teachers who struggle specifically with contextual application abilities. While past scholarly research and policy interventions have focused on financing teacher education quantities with considerable success, little if anything has been documented about innovative project financing approaches to quality teacher training, and the potential for wholesale adoption in social entrepreneurship, public-private partnerships in resource constrained contexts. SIBs were identified as a potential complementary finance model mainly due to identified characteristics and associated benefits. A qualitative study was conducted in order to find out how South African stakeholders can navigate the operational and associated financial challenges of developing quality Maths and Science teachers for the public sector. The study, limited to the capacity building dimensions of teacher training in South Africa, endeavored to understand how alternate financing mechanisms could respond to some of the key challenges of developing quality teachers. Interviews were conducted with the relevant participants in a SIB which included Education government representatives, teacher training service providers and private sector financiers. The research identifies that the value of implementing a SIB in teacher training is based on its ability to accommodate heterogeneous outcomes of an alternative holistic teacher training framework. This models strength lies in its reliance on strong partnerships for both implementation and financial outcomes. The SIB model finds its theoretical framework in project finance and has characteristics that can be seen as complementary solutions to the key challenges of developing teachers as well as a potential solution for wholesale implementation. From an operational perspective, the SIB creates a platform for the public educations lack of quality teacher infrastructure to leverage off private education’s quality teacher infrastructure in capacitating current and incoming teachers into the public sector. Thus allowing for the education sectors to collaborate and cross pollinate skills, resources and knowledge for the benefit of boosting the public sectors teacher training implementation capabilities. This ensures that the right skills, competencies and platforms are utilised in tackling challenges emanating from insufficient, irrelevant and unsupported experiential learning. The model also places outcomes at the centre and as a driving force for quality teacher delivery. This encourages stakeholders to earnestly consider quality teacher characteristics and include the associated key performance indicators at the different stages of development. This shifts the focus of teacher training delivery in South Africa to being outcomes driven rather than being inputs focused. This shift has proven to be a more cost effective method of addressing social challenges. From a financial perspective, once the requirements from public and private financial sectors have been met, the model also taps into new capital sources for scaling the implementation of a holistic teacher training model. The additional resources also enables government to introduce social entrepreneurs into education delivery and scale funding innovative preventative teacher training solutions. The PPP model is not without its challenges within the South African teacher education landscape. However conceptually, all the stakeholders appear keen to further engage and explore the merits of the holistic quality teacher framework, representing an emerging opportunity towards collaborative efforts in lure of a common social goal. Factors such as the alignment of objectives amongst stakeholders and additional revenue streams were identified as dominant stakeholder incentives affirming the desire to engage. Meanwhile, factors such as challenges with quantifying and measuring teacher quality, implementation and execution risk, and trust deficit issues were identified as dominant challenges that highlighted stakeholder key reservations with the framework.
  • Thumbnail Image
    Item
    Open Access
    An assessment of the Blue Economy in Namibia: a case study of Swakopmund and Walvis Bay
    (2019) Mouton, Sophia Florence; Kabinga, Mundia
    The main thrust of this research was to assess the Namibia blue economy: a case study of Walvis Bay and Swakopmund. The research was aimed at identifying how the government can achieve inclusive growth while at the same time ensuring that there is sustainable resource management. A qualitative research design was then adopted, with the target population of the study being the Ministry of Fisheries and Marine Resources employees, and previously disadvantaged people in Namibia. A purposive sampling technique was used to select the Ministry of Fisheries employees, and a random sampling technique was adopted to reach the 40 previously disadvantaged people. The research revealed that the Namibian blue economy is not currently sustainably utilised, due to policy incoherence and weak enforcement of the Namibianisation policy. These findings establish the need for participatory policy design and implementation to develop community, which is crucial for the sustainability of the blue economy. The results also revealed the lack of multi-sector partnerships, thus effectively limiting the benefits that could be harnessed from the Namibian blue economy. If Namibia were to set up all the necessary institutions and build the relevant capacities, it would enjoy the benefits of resource efficiency, sustainable business operations, inclusive jobs and improved well-being.
  • No Thumbnail Available
    Item
    Open Access
    An inclusive ecotourism green finance funding model for South Africa
    (2024) Mabe, Isang Tebogo; Kabinga, Mundia
    Climate change is occurring at a fast pace, and GHG emissions have already been locked in for future negative impacts. Marginalised communities bear the disproportionate burden of adapting to the negative impacts of climate change, due to unemployment and the lack of access to basic infrastructure. Addressing the negative impacts of climate change, and transitioning marginalised communities to climate change resilience, requires long-term sustainable commitments and community inclusion in industry projects. However, literature presumes a dichotomy between local community inclusion and the financial sustainability of the underlying project. South Africa has one of the most unequal societies in the world, due to labour income being vastly unequal among the various communities. In addition, the country is faced with a poor sovereign credit rating, which results in expensive traditional funding mechanisms, and a dearth of concessional green finance. Large sectors, such as energy and tourism, which contribute to significant GHG emissions, have not been investigated adequately for rapid decarbonisation in a sustainable local community inclusive approach. Consequently, this current research explores the incentives needed to stimulate the financial services sector to invest in sustainable green projects. A qualitative case study was conducted to determine how South Africa could be accelerated to a low carbon economy, through the lens of ecotourism or the energy sector. Interviews were conducted with experienced deal makers from 3 different financial services organisations involved in the energy and tourism sectors. The findings of this current research revealed that global actors with good sovereign credit ratings can provide largescale concessional green finance to de-risk projects, and create an enabling environment for local community inclusion. Additionally, cross sectorial collaborations enable a rapid decarbonisation of the ecotourism sector; however, energy demands far outstrip the available energy supply, making it challenging to decarbonise the energy sector. The findings also revealed a misalignment between global, national, and financial services actors to stimulate and incentivise investments in sustainable green projects, caused by competing objectives.
  • No Thumbnail Available
    Item
    Open Access
    Determinants of mobile money subscriptions induced by conventional banks in Sub-Saharan Africa.
    (2023) Banda, Msinje; Kabinga, Mundia
    Mobile Money is labelled essential for financial inclusion and financial access in countries subject to low bank penetration and dispersion. Mobile Money has proven to reach utmost rural areas in Africa, by providing financial access which several commercial banks have struggled to achieve since inception. The cost of Mobile Money penetration in comparison to incumbent banking penetration are apart by massive margins, mainly based on tedious registration requirements and high infrastructure costs faced by commercial banks. The empirical research report methodology issues such as endogeneity bias, heteroscedasticity, serial correlation, significant coefficient selection and valid instrument selection measured in the short and long run. Mobile money is termed disruptive when undertaken by mobile network operators that eventually become quasi- or virtual banks, and exceedingly profitable when undertaken by commercial banks. What is unclear is how long these disruptions last before conventional banks latch on and hence the questions being put forward. This paper examines the level of disruption fintech vices such as mobile money, remain influenced by reduced traditional commercial bank operations. The study employs quantitative analysis on secondary panel pooled data over the period 2010-2019. It analysed the short-run and long run dynamics of interaction between several facets that constitute traditional bank operations and mobile money subscriptions. This study critically analyses fourtraditional bank related conduits namely, Automated Teller Machines (ATM) to commercial branch dilution, commercial bank transaction value and commercial bank transaction volume. While mobile money components such as active mobile money subscriptions and mobile money agents are examined, the empirical model was estimated using the two-stage least-squares and the twostep system generalised method of moments technique. Hence, the key question this study poses is how mobile money subscriptions have significantly been affected by traditional banking payment mechanisms, in the short and long run within SSA. The empirical findings exhibited a significant relationship with the interaction between mobile money on traditional banking conduits such as automated teller machines within SSA and REC ECOWAS. This interaction revealed the positive long run effect increased commercial bank has on mobile money subscriptions, insinuating industry convergence. However, this study could not establish whether strong regulated banking institutions implied contrary results in parts of SADC. Keywords: Secondary panel pooled data; ATM to branch dilution; registered mobile money subscriptions; Two stage least-squares; Two step system generalised method of moments; SSA.
  • Thumbnail Image
    Item
    Open Access
    Determinants of sovereign borrowing choices in Sub-Saharan Africa
    (2020) Lehasa, Mecha; Kabinga, Mundia
    There is a growing and legitimate concern about sovereign debt increasing to unsustainable levels among the Sub-Saharan African (SSA) countries. Understanding the determinants of external debt to these countries influenced the direction of this study. The existing literature that was examined shed light mostly on the qualitative determinants of sovereign borrowing. In addition to existing empirical literature, there is a complimentary need to examine further the quantitative determinants of external debt. The researcher seeks to establish the extent to which the cost of borrowing (proxied by interest rate) explains the changes in the borrowing behaviour (proxied by external debt) among SSA countries. To achieve this objective, data from 36 SSA countries for the period 2009–2017 was used. The data were collected from International Debt Statistics compiled by the World Bank. External debt has been regressed against interest rate and other predictor variables. Hausman tests, robustness tests and collinearity tests were carried out to ascertain the validity of results. Interest rate is found to have a positive determining impact on external debt for all SSA countries aggregated: SSA countries excluding South Africa (SA); SSA excluding Nigeria; SSA excluding Nigeria and SA; SSA excluding debt-distressed countries, middle income and oilexporting countries. It does not have predictive power over changes in external debt for SSA excluding countries at high risk of distress; countries with low to moderate risk of distress; heavily indebted poor countries (HIPC) initiative post-implementation recipient countries; low income, other resource intensive and non-resource-intensive countries. External debt is also found to respond to changes in: gross national income (GNI); exports-to-imports ratio; primary income on foreign direct investment (FDI); reserves-to-imports ratio; FDI-to-GNI ratio; debt service-to-GNI ratio; interest arrears on long-term debt; short-term-to-total-debt ratio; and reserves-to-debt ratio for different country groupings. Different country groupings are found to have unique combinations of external debt determinants.
  • No Thumbnail Available
    Item
    Open Access
    Digital finance and welfare in Sub-Saharan Africa
    (2023) Mphefo, Lebogang; Kabinga, Mundia
    This research investigates the reliability of measuring the effect of financial inclusion on welfare in Sub-Saharan Africa (SSA) using the traditional financial inclusion index, which encompasses traditional access to financial services but does not necessarily represent the marginalised, as the majority do not make use of formal financial services. It is from this narrative that the study derives three financial inclusion indices – traditional financial inclusion, digital financial inclusion and comprehensive financial inclusion – using the three-stage PCA methodology to establish the influence of financial inclusion on welfare, and to add to the debate on the appropriate approach to measuring financial inclusion in the region. The traditional financial inclusion index is derived from traditional banking variables (the ATM and the branch), while the digital financial inclusion index employs mobile banking variables and the comprehensive financial inclusion index is a combination of digital and traditional financial inclusion indices used to compute the overall financial inclusion index. Welfare is proxied by the human development index and an inequality-adjusted human development index to establish the effect of inequality on welfare and financial inclusion. The fixed-effect regressions were conducted on a panel of 41 sub-Saharan countries for the years 2011, 2014 and 2017, to explore the relationship between traditional financial inclusion and welfare, while the pooled OLS methodology was adopted to enable multi-regression of digital financial inclusion, comprehensive financial inclusion and welfare in 2017, due to mobile data limitations on the demand side. Unemployment and bank credit ratio were included in the models to support the rationalisation of the results in alignment with the literature. The empirical findings indicate that digital financial inclusion and education are the main factors for improving welfare, and not necessarily national income – which was the case previously in the financial development era – because the digital financial inclusion index is the most optimal approach to calculating financial inclusion in SSA. On average, the traditional financial inclusion index is lagging, while the comprehensive inclusion index mirrors the movement of the digital financial inclusion index, and therefore reflects the dominance of digital inclusion in the region. However, overall financial inclusion (represented by comprehensive financial inclusion) is insignificant to welfare; implying that financial inclusion is low and the depth of financial services available on digital platforms is not at a level of significance to impact welfare immensely. Inequality-adjusted welfare has a significant and positive relationship with traditional and digital financial inclusion when regressed with education, but not with income. This implies 4 that with education, inequality can be overcome through financial inclusion to yield improved welfare. This study also shows the use of mobile banking to be higher in medium to large-sized informal economies. Lastly, unemployment is significant and positively related to welfare through digital financial inclusion and education, due to opportunities created in the informal sector.
  • No Thumbnail Available
    Item
    Open Access
    Digital transformation in South African consumer packaged goods companies
    (2025) Ngaleka, Tshepo; Kabinga, Mundia
    Technology-driven consumer expectations and increasing market competition are compelling Consumer Packaged Goods (CPG) companies to integrate digital technologies into their processes and systems to remain competitive and thrive in the market. However, little is known about how digital technologies affects job losses, employee interactions, organizational strategies and digital transformation strategies in South African CPG companies. This study addresses these gaps by exploring three research questions using the theoretical frameworks, namely Resource Based View, Dynamic Capabilities View and Digital Business Ecosystem to understand the intricacies of digital transformation in the CPG industry in South Africa. The study employed a qualitative research approach and semi-structured interviews were used to obtain data from 20 industry professionals. The main findings showed that digital transformation changed employee roles and responsibilities over time, creating opportunities and challenges. It was also established that the adoption of digital transformation varied as some organizations employed inclusive practices that fostered cooperation and innovation, while others focused on efficiency and increasing productivity. Regardless of the approach, it was evident that excellent leadership based on communication and transparency was found as a crucial feature for successful digital transformation initiatives undertaken by these companies as it boosted employee morale and increased commitment to these initiatives.
  • Thumbnail Image
    Item
    Open Access
    An econometric assessment of external debt sustainability indicators in Zambia
    (2015) Ng'andwe, Mumbi Tenga; Kabinga, Mundia
    Given inadequate domestic resources, as well as political and social pressures for development projects, Zambia will tend to run high budget deficits, and become very dependent on external debt. Thus debt sustainability becomes a major policy goal. This study investigated the significant macroeconomic factors that can influence external debt sustainability. These are GDP growth; Government revenues; exports; public expenditure; interest rate and exchange rate. The study employed simple Ordinary Least Squares (OLS) as well as a Vector Auto Regression (VAR) to capture dynamic relationships. The results revealed that exports and interest rates were positively related to sustainability. Revenues, GDP growth and Exchange rate were inversely related to debt sustainability. The total expenditure to GDP was inversely related to sustainability while current expenditure was positively related to sustainability probably due to prudent use of current expenditure on economic factors that stimulated growth. Capital expenditure was not significant to sustainability which may reflect the poor attention paid to infrastructure development in Zambia. The impulse response of the solvency indicator to revenue, GDP growth and total expenditure/GDP were generally negative over a ten year period. The policy implication is that in order to keep the debt sustainable, the debt resources must be used to maximise GDP growth and enhance public revenue. The impulse responses from exchange rate and interest rates to shocks on the solvency indicator were positive. The impulse response of SI from impulses in exports was negative. These are factors that are not completely in the control of the Government. The policy implication in contracting international debt is that Government should go for the lowest possible interest rate. Government should do its best to develop credible export promotion policies that can directly impact on the SI and also help to stabilize the exchange rate.
  • Thumbnail Image
    Item
    Open Access
    Evaluating commercialisation models in the water supply sector: a comparative case analysis of LWSC, Aguas Andinas and Johannesburg Water (2001-2014)
    (2016) Banda, Ason; Kabinga, Mundia
    Most people in developing countries lack access to clean water, which leads to water-related diseases. The water supply challenges in many developing countries have persisted despite the water sector receiving considerable amount of support from the international organisations and cooperating partners. In this study I analysed different water reforms undertaken in developing market economies with a specific focus on Chile, South Africa and Zambia. The main research question I sought to address is whether commercialisation has proportionately improved water supply delivery in the aforementioned countries. The research employs a qualitative comparative case study approach of three Commercial Utilities (CUs), namely Lusaka Water and Sewerage Company (LWSC), Johannesburg Water and Aguas Andinas. Performance improvement was assessed using selected indicators under four broad criteria; accessibility, reliability, affordability and profitability for the period 2001 to 2014. The significant finding is that all CUs with different reform models had improved performance after commercialisation which is attributed to adoption of market principles and good corporate practices. The research established that private service delivery with strong state involvement outperformed public service delivery in terms of efficiency, accessibility, reliability and affordability. Privatised Aguas Andinas exhibited the highest level of performance in terms of accessibility, reliability, profitability and affordability. Johannesburg Water performed better than LWSC in terms of accessibility and reliability while LWSC performed better than Johannesburg Water in terms of affordability and profitability across the period 2001 to 2014. LWSC improved service in terms of accessibility, reliability, affordability and operational efficiency after corporatisation. The main conclusion is that even though Aguas Andinas has exhibited the highest level of performance, the strong performance is attributed to strong state involvement, tariff and subside systems, legal and institutional systems, management skills, sound corporate governance, customer orientation and innovation. Therefore, all the three models; privatisation, corporatisation and management contract, are suitable models for developing economies provided the state play its role and CUs adopt best practices.
  • Thumbnail Image
    Item
    Open Access
    Financing development or developing finance? A review of development impact evaluation systems used by development finance institutions in South Africa
    (2019) Garikayi, Francis Valentine; Kabinga, Mundia
    The landscape of South African National Development Finance Institutions (DFIs) is comprised of twelve entities. Their institutional objectives range from supporting farmers, financing industrialisation, infrastructural development, and promoting financial inclusion. These DFI objectives fall under the umbrella of Private Sector Development (PSD) interventions. Literature established that the success of PSD is contingent on effective impact evaluation. Consequently, the main research question explored in this dissertation is: In what ways, and using what tools and systems, do South African DFIs measure the development impact of their investments? In support of the main question, two sub-questions were are also investigated. Firstly, whether impact evaluation systems provide credible, timely and relevant information. Secondly, whether impact evaluation systems support evidence-based decision making and learning. In response to these questions, a qualitative case study of six National DFIs was carried out. Semi-structured interviews were conducted with DFI staff members involved in impact evaluation. This was supported by secondary data from annual reports and organisational websites. It was established that, firstly, DFIs use non-uniform impact evaluation systems and tools to measure the impact of their investments. Secondly, the systems lack qualitative detail and focus on measuring outputs instead of outcomes. Thus, much emphasis is placed on monitoring instead of impact evaluation. This renders the impact evaluation systems and tools highly ineffective. Finally, whilst the avowed objective of DFIs is development, financial viability takes precedence when selecting projects. Therefore, an emerging conclusion was that systems in place do not support development impact evidence-based decision-making. These findings generated recommendations for changing the development impact evaluation tools and systems used by South African National DFIs. It is expected that recommended changes will maximise DFI socio-economic benefits.
  • Thumbnail Image
    Item
    Open Access
    FinTech Regulation in South Africa
    (2022) Takundwa, Simbarashe; Kabinga, Mundia
    The rise of FinTech has been an interesting development globally and South Africa is no exception. With an increase in computer processing, the availability of this technology on simple handheld machines like tablets and cell phones, FinTech has taken advantage of this development to create a new industry. However, the growth of FinTech has outpaced the growth of the necessary regulations that regulate such financial services and the need to have an adaptive regulation regime is therefore necessary. The study aims to determine whether regulation is a key enabler in the uptake of e-money and by making cross country comparisons with countries where e-money and other Fintech products have been successful, and to provide guidance on the regulatory approaches that can increase financial inclusion whilst minimizing the risks to the South African financial system. This study is based on the benefit and risk framework, guided by the technology-acceptance model in assessing the adoption of e-money, based on the perspectives of the regulatory authorities, in this case in the South African Reserve Bank (SARB). The Efficient Market Hypothesis is also tested on why there is a need for regulation, when the markets are efficient? Behavioral theory on the rationality of individuals, when it comes to financial decision-making, availability and the cost of obtaining information, is also the key to analyzing how and why Fintech technologies are accepted and adopted. The hypothesis is that regulation does influence the adoption of Fintech technologies, such as crypto-currency and mobile money. A qualitative case study of representatives from regulators, MNOs and other fintech operators and research institutions was carried out in order to determine their views of current regulations and its impact and proposals on how regulation can be fine-tuned to the South African market and other similar markets. The research finds that regulation can be a constraining factor, a neutral factor and also an enabler to Fintech development and that the South African regulators have a taken a more cautious approach to Fintech regulation. This is mainly motivated by the need to protect consumers from market conduct risk, data protection and market failure risk. Market conduct risk is exacerbated by the high levels of financial illiteracy in South Africa. A cross country comparative also revealed that economies with sophisticated and developed financial markets tended to go for a collaborative approach, where Fintech players and traditional financial incumbents have to collaborate either because of the forced relationships via regulation or because of market requirements. In less sophisticated and developed markets on other hand we see the Fintech players rather taking up the role those traditional financial institutions ought to have played due to inefficiencies in the system. Finallya regulatory life cycle approach is recommended as the best method to regulate such an ever-evolving industry in order to mitigate the risks and at the same time maximize on the benefits of Fintech products in increasing financial inclusion
  • Thumbnail Image
    Item
    Open Access
    Foreign Private Investment Flows and Manufacturing Sector in Zimbabwe
    (2021) Chinodzama, Delia; Kabinga, Mundia
    The study primarily examined the macroeconomic and institutional factors constraining the flow of foreign private investment flows into Zimbabwe's manufacturing sector. The study further explored the benefits that accrue from private capital as a source of financing for Zimbabwe's manufacturing sector. Quantitative analysis was used to determine the macroeconomic and governance factors that have a significant impact on the flow on private capital into Zimbabwe. Using the Johansen cointegration trace and maximum eingen value test indicate the presence of a significant long-run relationship between foreign capital inflows and the predictor variables. The results indicated the presence of 5 integrating equations for the trace test and 3 cointegrating equations for the maximum eingen value test. The normalized coefficients, foreign private investment flows are significantly and positively impacted by infrastructure development, economic growth rate, and inflation (macroeconomic factors) and further by business freedom and government effectiveness (governance factors). GDP per capita was found to have a negative impact on foreign investment flows. Analysis of questionnaire data revealed that foreign private financing appeals highly to manufacturing companies but access to this source of funding is constrained by funding mismatches, high credit risk levels within the local manufacturing industry, a longer time lag, sanctions imposed on the country and high production costs. In terms of the benefits of foreign private capital over the traditional sources of funding, the study found that private capital improves company operations (capacity utilisation, export market penetration and productivity), improves technology usage, and boosts the target company's corporate image.
  • No Thumbnail Available
    Item
    Open Access
    Housing Finance And Investment In Sub-Saharan Africa: A Case Study Of Malawi
    (2023) Mzyece, Joel; Kabinga, Mundia
    For many African families, owning a modest home remains a pipe dream. Efforts to address the continent's housing problem are hampered by high costs of urban land and insufficient tenure security, rising building costs, the prevalence of slums and above all a shortage of affordable housing finance. Due to market failure and resource constraints prevalent in the housing sector of Sub-Saharan African (SSA) countries, this study analysed the housing challenges in SSA using data from Malawi, which tends to be dominant with these common factors. With other previous studies which either employ descriptive or qualitative methods, this study additionally contributes by empirically estimating the variables in housing and housing finance using mixed methods analysis. The study's overarching goal was to investigate the impact of financing on housing in SSA using Malawi as a case study. To achieve this objective, the study sought to find answers to the quantitative and qualitative impact of housing finance and other macro and micro variables on housing availability and affordability. Mixed method was used and both the qualitative and quantitative methods were deductive as a priori analyses were done to test what the theoretical and empirical literature entail about housing. Secondary data from World Bank (WB) for the period 1980 to 2020 was used for the quantitative analysis and primary data captured from interviews with government officers and the private sector was used for the qualitative analysis. The findings of the quantitative analysis suggest that government housing finance, interest rate, inflation, GDP growth rate, exchange rate, urban population, and corruption all significantly affect housing. GDP growth rate, exchange rate, and urban population all affect housing positively whilst inflation, interest rate, and corruption affect housing negatively. Refugee population and political instability were found not significant. The findings of the qualitative analysis corroborate that of the quantitative findings. Analysis of interviews shows that interviewees agreed that corruption in government housing finance, interest rate, inflation, and exchange rate, significantly affect housing.
  • No Thumbnail Available
    Item
    Open Access
    Impact of Trade Liberalisation on Economic Growth: South Africa's automotive perspective
    (2024) Libazi, Nomfundo; Kabinga, Mundia
    This study examines the impact of trade liberalisation policies on the economic growth of South Africa's automotive industry within the context of international trade. The study aims to investigate the effects of trade openness policy on the automotive industry's development and economic growth. The study uses the Vector Error Correction Model (VECM) to examine the relationship between trade liberalisation and economic growth. Time series data from Q1 1992 to Q4 2021 is used for the study to reshape conventional theories and inspire further research. The findings reveal a negative correlation between trade openness and economic growth in the long-run despite increased exports due to liberalisation policies. Even when the study adjusts the lagged results from 6 to 2, the impact is the same. This correlation is attributed to workforce limitations and an underdeveloped local supplier base. Results are validated through diagnostic tests, displaying significant and robust evidence. Given the divergence in the findings, further research is needed to better understand the results. Policymakers should concentrate on skills and human capital development to improve the technical and absorption capability of the local market. Skills and human capital development ensure that industry benefits from technological diffusions flowing from international trade. Supportive industrial policies aligned with long-term liberalisation strategies can upgrade and capture a greater value-added share within value chains.
  • Thumbnail Image
    Item
    Open Access
    Indigenous Knowledge and Sustainable Development: The Case of Rwanda's Agricultural Sector.
    (2023) Phaduli, Itani; Kabinga, Mundia
    The need for creating sustainable and relatable development projects has placed a sharp focus of the different approaches and methods of achieving development. Traditional development approaches such as top-down theory and the bottom-up theory of development have evolved over the years whilst recent approaches such as Randomised Controlled Experiments (RCE) have also emerged with the aim of creating sustainable and more relatable development projects. All these approaches of development have had their fair share of criticism and applauses in literature. The use of Indigenous Knowledge Systems (IK) as a factor of the bottom-up theory of development has been argued as an important element of advancing the developmental agenda and creating sustainable & relatable projects. Many scholars have conducted research around how IK can be incorporated in development projects around the world. Although research has been conducted, much is yet to be discovered around the actual impact or lack thereof of IK as a key factor of the bottom-up theory of development in development projects. This dissertation researched the impact of Rwanda's IK as a factor of the bottom-up theory of development with a focus on Rwanda's Land, Husbandry water harvesting and Hillside irrigation (LWH) project as a unit of analysis. Furthermore, the research assessed whether the Rwandan water harvesting, and irrigation IK played a role in the overall project conceptualization, design and implementation and if so, how this was incorporated in the overall project and finally what role (if any) this IK played in the overall outcomes of the LWH project. A qualitative case study research of the Rwanda's Land Husbandry, Water Harvesting and Irrigation Project was conducted within-depth questionnaires used as data collection instruments from farmers and project coordinators who were immensely involved in the design, development, implementation and monitoring of the project. Data analysis showed that most study participants agreed that the Rwandan water harvesting, and irrigation IK was incorporated in the LWH project and was a key success factor in the bottom-up theory used to implemented in the LWH project. The research found that the incorporation of IK as a factor of the bottom-up theory enabled quicker adoption of the project, increased levels of accountability and responsibility over the project by project beneficiaries and an accelerated attainment of project goals and objectives.
  • Thumbnail Image
    Item
    Open Access
    Investigating determinants of access to formal credit - South African women entrepreneurs in the informal sector
    (2021) Futha, Vuyelwa; Kabinga, Mundia
    Financial inclusion remains vital for the empowerment of women. Women, particularly in the informal sector, face the challenge of access to formal credit. The aim of the study is to investigate the determinants of access to formal credit by women in the informal sector. A logit regression model is employed as an estimation technique, to empirically test the relationship between individual characteristics and access to formal credit. The study uses data from the 2016 FinScope National Survey to identify which of these determinants affects access to credit in South Africa. The FinScope data consists of a nationally representative sample size of 4992 South African men and women aged 16 years and older. The findings indicate that ‘fear of applying for a loan', ‘loan from moneylenders' as well as ‘loan from family and friends' were variables found to be statistically insignificant determinants of access to credit. In line with expectation, the results indicate that possession of a tertiary education; having undergone vocational training; being older; having access to a communication device; and having a positive attitude towards technology, increase the chances of access to credit. The results also prove the hypotheses that being female; an entrepreneur in the informal sector; possession of a primary education; being based in a rural area; having an irregular source of income; or the use of internal funds are negatively correlated to access to credit. The findings highlight the need to find meaningful solutions to address access to credit for women entrepreneurs in the informal sector in South Africa.
  • Thumbnail Image
    Item
    Open Access
    Investigating the nexus between investment in agriculture and agriculture output: a case for Namibia
    (2021) Jakob, Alisa; Kabinga, Mundia
    This paper explores the link between agriculture investment and agriculture output in Namibia. The existing theory on investment and growth constitutes a basis for empirical work on investment-output nexus. Neither the neoclassical nor the new growth theories on investment have considered the growth effects of investment at sector and industry level and its implication on capital allocation, particularly for developing countries that are resource constrained. The key question addressed in this paper is whether investment in agriculture is associated with agriculture output, both at the sector and sub-sector levels. The paper adopted the ARDL bounds test model constructed with quarterly data for the period 2000 to 2020 and found that investment and agricultural output exhibit a long-run relationship. The coefficient estimates showed that public investment, development bank loans and agriculture export have a positive impact on agricultural output while inflation, lending rates and commercial bank loans have a deleterious effect. The long-run causality tests suggest that there is unidirectional causality between commercial credit expenditure and aggregate agriculture output, as well as a unidirectional causality running from exports to livestock and crop sub-sector output. Based on error correction terms, agriculture output tends to rapidly adjust to short-term disturbances, hence rebound of agriculture output to a long-run growth path can take place with minimum or no delays. This study concludes that the Keynesian hypothesis is valid for Namibia's agriculture and the direction of causality is from investment to agriculture growth. Therefore, the role of government in supporting sustainable development of the agricultural sector cannot be overemphasised.
  • No Thumbnail Available
    Item
    Open Access
    Local government in South Africa – Efficiencies revisited
    (2023) Nyatanga, Lorraine; Kabinga, Mundia
    Poor service delivery is the continuous song sung by monitoring bodies such as the Auditor Generals and service delivery riots have increased over the years. Efficiency refers to the fact that there should be no waste in the use of resources and that there is rationality in their use. In turn, local government tier in national government is a level of governance that develops as a response of fiscal decentralization implicating a transfer of power and responsibility for public affairs from central government to lower levels, such as regional or local governments. The problem at hand emanates from the limited understanding of the efficiency levels of local municipalities in the RSA and the lack of knowledge regarding the impact of grant support and institutional capacity on their efficiency despite the importance of local municipalities in delivering services. The covid-19 pandemic being an unforeseen circumstance also provided inherent pressure on the struggling economy and ailing government reforms. The focus of this study was to assess the efficiency of local municipalities in South Africa and to find the determinants of efficiency gaps among local municipalities in Republic of South Africa (RSA). Research questions identified sought to clarify how many local municipalities are operating efficiently in South Africa, the effect of grant support on the efficiency of municipalities in RSA and the impact of institutional capacity on local municipality efficiency score in RSA. Using secondary data, the study used the non-parametric Two-Stage Data Envelopment Analysis (DEA) method to measure efficiency of 232 local municipalities in the Republic of South Africa. The study further employed a Tobit regression model to explain what determines the efficiency scores. The study findings show that total population has a negative relationship with efficiency scores. Financial flexibility, financial independence, and grants all have a positive impact on the efficiency of local municipalities in South Africa. Institutional capacity is insignificant in establishing municipal efficiency However, both financial decentralisation and number of households with access to free water have no effect on the efficiency.
  • Thumbnail Image
    Item
    Open Access
    Mobile Money Provision and Adaptation in a Multicurrency Economy: The Case of Zimbabwe
    (2018) Nyaruwata, Tinashe; Kabinga, Mundia
    Mobile money has been regarded as a catalyst for financial inclusion in developing areas where traditional banking is limited. This research provides a critical assessment of the factors that facilitate or impede the provision of mobile money services in a fragile multicurrency economy, in particular, Zimbabwe. It explores how mobile money providers adapt to the fragility of the economy and what needs to be done to broaden mobile money uptake and performance in same environment. The study employs a qualitative and multiple case study approaches to understand mobile money business models in three mobile network operators in Zimbabwe. Research findings revealed that MNOs have developed MNO led approaches which are slowly migrating to collaborative models thereby greatly enhancing financial accessibility for the mass traditionally unbanked. With reference to the first sub question it was established that the multicurrency regime enabled remittance and withdrawals aspects of mobile money in Zimbabwe as during the 2016/2017 cash shortage era high demand in local and international money transfer was backed by the rise of a supportive role from the Central bank and Public Finance authorities. Most people were more favourable to mobile money transfers and banking which offered more control to customers since they negatively viewed traditional finance entities following a series of local bank collapses. On the downside, challenges of obtaining cash in the country that is illiquid reduced agent network and affected the confidence in mobile money deposits and withdrawals as mobile money customers were used to handling cash. In addition the lack of interoperations amongst the service providers significantly affected effective uptake of mobile banking. The research shows that use of collaborative approaches suggest the ability to adapt and adjust a model based on the prevailing conditions and customer needs and wants by MNOs. With reference to the third question it was recognised that mobile money can succeed in a multicurrency ecosystem when a focused and coordinated approach to fundamentals is applied to properly deal with the challenges that come with shifting from a cash economy to a digital ecosystem.