Many emerging economies, particularly oil-rich countries such as Nigeria, have neglected the key drivers of growth, and consequently resulting in a decline in investment and employment. In the midst of this, the current study sought to examine the extent to which foreign direct investment and oil revenue impact Nigerian economic growth. The estimation was done using ordinary least squares (OLS) techniques, and the Granger causality test was used to determine the direction of causality between FDI, oil revenue, and economic growth using annual time series data from 1991 to 2019. Hence, recognising that annual time series are high-frequency data, all the variables were subjected to OLS assumptions. The empirical findings revealed that FDI and oil revenue significantly impacted growth. Accounting for the impact of economic activities reflected in the role of financial inflow and outflow on economic growth, a significant and positive relationship was found. This implies that international monetary transactions between entities captured in the current account balance are key determinants of growth in Nigeria. Further evidence revealed that variables such as real exchange rate, inflation and interest rates significantly determine economic growth in Nigeria. As such, this finding was further supported by their interactive effects, revealing an inverse and significant influence on economic growth. The Granger causality results show bidirectional causality between oil revenue and growth, as well as between oil revenue and foreign direct investment in Nigeria. The robustness test, which employs GDP per capita and GDP growth as proxies for economic growth, is consistent with empirical evidence. As a result, FDI and oil revenues are important drivers of Nigeria's growth, ceteris paribus.

This study assesses the connection between environmental degradation, agro-climate financing, and economic growth in Sub-Saharan Africa (SSA) using yearly time series data from 2000 to 2022. The system generalized method of moments (GMM) was employed to tackle endogeneity issues, with robustness checks performed using DOLS and FMOLS to address cross-sectional dependence through robust standard errors. This method revealed important insights into the dynamics of economic growth. The findings show a significant positive connection between the economy’s past success and its current growth. CO₂ emissions negatively impact economic growth, demonstrating the detrimental effects of environmental degradation. Agricultural finance has a positive influence on economic growth by boosting productivity and fostering economic growth. However, climate financing has a short-term negative impact on growth owing to high initial costs and inefficiencies, but it promotes long-term growth when combined with agricultural finance. The interaction between CO₂ emissions and agricultural finance shows that increasing emissions reduces the benefits of agricultural investments, underscoring the vulnerability of agriculture-dependent economies. Conversely, the interaction of agricultural finance with climate finance enhances economic growth, demonstrating the relevance of combining climate and agricultural investments. Additionally, the study finds that exchange rate stability positively affects growth, while inflation has a negative impact. Robustness checks validate these findings and underscore the need for varied analytical methods to capture economic interactions comprehensively. The study recommends comprehensive policy measures to tackle environmental, agricultural, and climate challenges, promote sustainable growth, and leverage integrated financial solutions for long-term development in Sub-Saharan Africa.

Purpose. This study examines the impact of external debt, capacity utilisation, and digital infrastructural architecture on national savings in African debt-distressed countries. It addresses a critical gap in the literature by providing a holistic empirical assessment of how debt dynamics, productive efficiency, and digital transformation jointly influence domestic resource mobilisation in vulnerable economies. Methods. The analysis employs panel data from 18 African debt-distressed countries covering 2011–2024. The panel system generalised method of moments (GMM) is used as the baseline estimator to address endogeneity and dynamic panel bias, while the threshold cross-sectionally augmented autoregressive distributed lag (CS-ARDL) model serves as a robustness check to capture short and long-run dynamics and cross-sectional dependence. The findings reveal that rising external debt measured through debt ratios, servicing obligations, and debt stock significantly reduces national savings in both the short and long run, reflecting fiscal crowding-out effects. Capacity utilisation indicators also exert a negative influence on savings, suggesting structural inefficiencies rather than productivity-enhancing expansion. Digital infrastructural architecture shows negative short-run effects on savings due to high investment costs and institutional constraints, though potential long-term benefits remain evident. Diagnostic tests confirm model validity and robustness. Significance. The results underscore the need for prudent debt management, productivity-oriented investment, and institutionally grounded digital infrastructure reforms to enhance national savings and strengthen macroeconomic resilience in African debt-distressed economies.

This study examines the impact of foreign direct investment (FDI) inflows on household per capita income in Nigeria and South Africa, two of Africa’s largest emerging economies, using annual data from 1980 to 2020. The autoregressive distributed lag (ARDL) bounds testing approach is employed alongside pooled mean group (PMG), mean group (MG), and dynamic fixed effects estimators to examine long-run and short-run dynamics. Pedroni (2004) and Kao (1999) cointegration tests confirm a long-run relationship between FDI inflows and household per capita income in the panel. The PMG estimator, selected by the Hausman test, shows a significant positive long-run relationship, consistent with endogenous growth theory. Short-run error correction terms (ECTs) are negative and significant, confirming adjustment to equilibrium. Exchange rate depreciation and inflation exert negative effects on household per capita income. These findings carry direct policy relevance: African governments should prioritise investment climate reforms and complementary human capital policies to ensure FDI translates into measurable household welfare gains rather than remaining in enclave sectors.