African J. of Economic and Sustainable Development (7 papers in press)
The Role of Corporate Social Responsibility in Improving Firms Business in the Directions of Sustainable Development, Accountability and Transparency
by Emerson Jackson, Hudson Jackson
Abstract: Corporate Social Responsibility (CSR) is now a buzz word used by many corporate organisations, and this article has provided a critical review of CSR activities for organisations operating in the natural resource sector in Sierra Leone. There has been some unraveling details in relation to the theoretical background of CSR, with different methodological approached used to ascertain outcomes. Sierra Leone, a country full of memories relating to poverty and civil unrest can account for good model of CSR operation by some of its trustworthy corporations trading within its country. On this note, the activities of both SRL and Miro-Forest have exhibited good example (and as well as some critical concerns) of their intent in contributing meaningfully towards sustainable engagement with communities, and backed by substantial investment in their workforce. Suggested recommendations have also expressed the need for corporations to be open in their approach towards building good relationships with communities through their CSR operations, while at the same time ensuring that an agency acting on behalf of the government is in active engagement to make the environment is sustainably utilised for the benefit of future generation.
Keywords: Corporate Social Responsibility (CSR); Human Resource Development; Sustainability; Corporations; Sierra Leone.
Exploration of Public Spending and Gross Domestic Products (GDP) Growth in Agricultural Sector. Comparative Analysis of Nigerian and Malaysian Agricultural Sector (1970-2010).
by Temidayo Apata
Abstract: Nigeria and Malaysia are in the same level in terms of economic growth in the 1960s, recent records revealed that Malaysia has advanced in economic evolution than Nigeria. The study examines public spending in Malaysia and Nigeria and provide lessons from Malaysian growth indices for Nigeria. Secondary data used were sourced from FAOSTAT and International data-center from 1970-2010. Simple version of endogenous-growth theory model adopted. Random effects model results revealed that Nigeria public-expenditure (PUEXP) and intervention (INTEV) variables were significant but negative, while enterprise-development (ENTDEV), drivers of development (DRIVERS) and Dummy for modest public expenditure access (D1t) significant but positive. Similarly, in Malaysia, 3 variables were significant and positive at difference level, also Dummies D1t and D2t (macroeconomic stability) significant. Public expenditure and GDP growth has an inverse relationship in Nigeria and direct relationship in Malaysia. Modest public expenditure, macroeconomic stability are important development indices Nigeria must learn from Malaysia
Keywords: Public spending; growth model; policy; economy development; Nigeria and Malaysia.rnrn.
Impact of Support to Agriculture and Forestry Development Project on Maize Productivity in South Sudan
by Nixon Tongun, Gabriel Elepu
Abstract: The government of South Sudan through the Ministry of Agriculture and Forestry launched the Support to Agriculture and Forestry Development Project in 2007, as one of the strategies to increase agricultural productivity and production. The project aimed to increase productivity by facilitating access to adoption of improved agricultural technologies and building capacities of both Central and State governments. However, cereal productivity in general has generally been low, resulting in persistent food insecurity. Therefore, this study assessed the impact of the Support to Agriculture and Forestry Development Project on productivity of maize, a major staple food crop in Juba and Morobo Counties of Central Equatoria. Cross-sectional data were obtained from 200 maize farmers, 80 participants and 120 non-participants. A two-stage Heckman model was used to check for any selection bias in farmer participation in the project. Results obtained from the first stage of the model showed that household size and membership in a farmers group positively and significantly influenced participation in the project, whereas off-farm income negatively and significantly influenced participation. Results from the second stage model indicated that the impact of the project on maize productivity was positive. Up-scaling of the project in the study area is thus recommended for improved maize productivity. However, measures need to be taken by stakeholders to ensure sustainability of project results.
Keywords: impact; agriculture; project; productivity; production; maize; Heckman; probit; multi-donor; South Sudan.
The determinants of agricultural output and the role of food aid: the case of Sub-Saharan Africa
by Priniti Panday
Abstract: This paper investigates factors that influence agricultural output in a group of Sub-Saharan African countries, with special emphasis on the role of food aid. A three-sector trade theoretic framework of an agrarian economy, comprising of exportables, importables and non-traded goods, serves as a basis for the study. This sectorial analysis allows us to analyze movement of resources and demand substitution across sectors, resulting from changes in relative prices, due to food aid. The theoretical model provides various hypotheses that are tested empirically. Results indicate that food aid had a significant negative impact on all three categories of agricultural output. The effect of other variables was also analyzed. Factors of production along with a durable and stable regime generally impacted output positively. Drought and conflict had a significant negative impact on importables and non-traded goods.
Keywords: food aid; exportables; importables; non-traded goods; relative prices; drought; conflict; governance; Sub-Saharan Africa.
BASEL MACRO-PRUDENTIAL TOOLS AND FINANCIAL SYSTEM STABILITY IN NIGERIA
by Barine Michael Nwidobie
Abstract: This study aimed to determine the level of post-consolidation financial stability in Nigeria and the effect of the Basel I Accord implementation on this stability. Data on post-consolidation aggregate bank profits and liquidity (measures of financial stability) and post-consolidation aggregate capitalization of banks (made in compliance with Basel I Accord) were analysed using the GARCH model. Research results show that there exists volatility in bank profits (indicating long-term financial instability), with the relationship between both variables positive; and there exists no volatility in aggregate bank liquidity indicating the existence of financial system stability (short-term/liquidity stability) with a significant relationship existing between Basel I Accord and the bank liquidity. These findings necessitate the implementation of Basel II, II.5 and III with improved supervisory review process, disclosures and market disciplines, enhanced minimum capital and liquidity requirements, enhanced supervisory process for firm-wide risk management and capital management and capital planning, enhanced risk disclosures, market discipline, required liquidity standard, leverage ratio and minimum total capital ratio to check excessive risk taking by DMBs, transmit the positive stability in liquidity to stability in profits of DMBs to improve Nigerias short-term and long-term financial system stability, and shield the system from external shocks and cross-border contagion.
Keywords: Aggregate bank capital; bank consolidation; Basel I Accord; bank profits; financial stability; macro-prudential tools; liquidity.
The determinants of the uptake of carbon finance by renewable energy producers in Kenya.
by Bernard Baimwera, David Wangombe, Ernest Kitindi
Abstract: Energy use, especially the burning of fossil fuels to provide power for home and industrial use, is the main catalyst of global warming. The central role played by renewable energy in climate mitigation cannot be downplayed, especially in reducing the emissions of greenhouse gases. Carbon finance has emerged as an attractive financing option to help scale-up renewable energy investments in low and middle-income countries. To establish the determinants of carbon finance uptake among renewable energy developers in Kenya, a two-part model was used to model the variables project size, project sector, carbon offset prices, technology and market affiliation of a project, which are key in the uptake of carbon finance. Results reveal that project size, the technology used in the renewable energy project and the market affiliation, either the voluntary carbon market or the regulatory compliance market are important determinants of the uptake of climate finance among renewable energy developers in Kenya, while the project sector and the prevailing carbon offset prices does not seem to influence the uptake.
Keywords: Carbon Finance; Climate change; renewable energy; global warming.
Public Investment, Life Expectancy and Income Growth
by Minoru Watanabe, Masaya Yasuoka
Abstract: Based on individual occupational choice in the model including a production function with public investment, this paper presents an examination of how public investment affects the dynamics. Individuals work as skilled laborers or unskilled laborers. As in the model described by Caselli (1999), educational costs are necessary to work as a skilled laborer. Results show that life expectancy determines whether income growth occurs or not. Public investment can bring about income growth if life expectancy is sufficiently high. However, with low probability, the government can not bring about income growth with an increase in public investment.
Keywords: Public investment; Life expectancy; Occupational choice; Economic growth.