Analysis of the Determinants of Domestic Savings in the WAEMU

  •  Prao Yao Seraphin    
  •  Konan Yao Cesar    


This article analyses the determinants of domestic savings in the West African Economic and Monetary Union (WAEMU), except for Guinea-Bissau. Members of the WAEMU are Benin, Burkina Faso, Côte d’Ivoire, Guinea-Bissau, Mali, Niger, Senegal, and Togo. WAEMU member countries are working toward greater regional integration with unified external tariffs. The economic dynamism sought by each country could be beneficial to the mobilization of savings. Research into the determinants of savings is therefore of crucial importance for countries with a financing gap. The study covers the period from 1982 to 2017. The data used for this study come mainly from the World Bank (WDI). Using Dynamic Least Squares (DOLS), the study finds that domestic saving behavior is positively influenced by gross domestic product per capita, investment, life expectancy at birth, and the lending rate. On the other hand, primary school enrolment, trade openness, and inflation negatively affect domestic savings.

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