Monetary union for the development process in the East African community: business cycle synchronization approach

Monetary union for the development process in the East African community: business cycle synchronization approach

This paper empirically examines the suitability of monetary union in East African community members namely, Burundi, Kenya, Rwanda, Tanzania and Uganda, on the basis of business cycle synchronization. This research considers annual GDP (gross domestic product) data from IMF (international monetary...

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Main Authors: Ahmed Sheikh, Kamaludin, Nurul Azam, Mohammad, Rabby, Talukder Golam, Alam, Gazi Mahabubul, Khan, Issa
Format: Article
Language:English
Published: Academic Journals 2011
Subjects:
HG Finance
Online Access:http://irep.iium.edu.my/7397/
http://irep.iium.edu.my/7397/
http://irep.iium.edu.my/7397/1/Monetory__Union.pdf
id iium-7397
recordtype eprints
spelling iium-73972012-05-07T14:21:00Z http://irep.iium.edu.my/7397/ Monetary union for the development process in the East African community: business cycle synchronization approach Ahmed Sheikh, Kamaludin Nurul Azam, Mohammad Rabby, Talukder Golam Alam, Gazi Mahabubul Khan, Issa HG Finance This paper empirically examines the suitability of monetary union in East African community members namely, Burundi, Kenya, Rwanda, Tanzania and Uganda, on the basis of business cycle synchronization. This research considers annual GDP (gross domestic product) data from IMF (international monetary fund) for the period of 1980 to 2010. In order to extract the business cycles and trends, the study uses HP (Hodrick-Prescott) and the BP (band pass) filters. After identifying the cycles and trends of the business cycle, the study considers cross country correlation analysis and analysis of variance technique to examine whether EAC (East African community) countries are characterized by synchronized business cycles or not. The results show that four EAC countries (Burundi, Kenya, Tanzania and Uganda) among five countries are having similar pattern of business cycle and trend from the last ten years of the formation of the EAC. The research concludes that these countries, except Rwanda, do not differ significantly in transitory or cycle components but do differ in permanent components especially in growth trend. Academic Journals 2011-09-04 Article PeerReviewed application/pdf en http://irep.iium.edu.my/7397/1/Monetory__Union.pdf Ahmed Sheikh, Kamaludin and Nurul Azam, Mohammad and Rabby, Talukder Golam and Alam, Gazi Mahabubul and Khan, Issa (2011) Monetary union for the development process in the East African community: business cycle synchronization approach. African Journal of Business Management, 5 (17). pp. 7632-41. ISSN 1993-8233 http://www.academicjournals.org/AJBM
repository_type Digital Repository
institution_category Local University
institution International Islamic University Malaysia
building IIUM Repository
collection Online Access
language English
topic HG Finance
spellingShingle HG Finance
Ahmed Sheikh, Kamaludin
Nurul Azam, Mohammad
Rabby, Talukder Golam
Alam, Gazi Mahabubul
Khan, Issa
Monetary union for the development process in the East African community: business cycle synchronization approach
description This paper empirically examines the suitability of monetary union in East African community members namely, Burundi, Kenya, Rwanda, Tanzania and Uganda, on the basis of business cycle synchronization. This research considers annual GDP (gross domestic product) data from IMF (international monetary fund) for the period of 1980 to 2010. In order to extract the business cycles and trends, the study uses HP (Hodrick-Prescott) and the BP (band pass) filters. After identifying the cycles and trends of the business cycle, the study considers cross country correlation analysis and analysis of variance technique to examine whether EAC (East African community) countries are characterized by synchronized business cycles or not. The results show that four EAC countries (Burundi, Kenya, Tanzania and Uganda) among five countries are having similar pattern of business cycle and trend from the last ten years of the formation of the EAC. The research concludes that these countries, except Rwanda, do not differ significantly in transitory or cycle components but do differ in permanent components especially in growth trend.
format Article
author Ahmed Sheikh, Kamaludin
Nurul Azam, Mohammad
Rabby, Talukder Golam
Alam, Gazi Mahabubul
Khan, Issa
author_facet Ahmed Sheikh, Kamaludin
Nurul Azam, Mohammad
Rabby, Talukder Golam
Alam, Gazi Mahabubul
Khan, Issa
author_sort Ahmed Sheikh, Kamaludin
title Monetary union for the development process in the East African community: business cycle synchronization approach
title_short Monetary union for the development process in the East African community: business cycle synchronization approach
title_full Monetary union for the development process in the East African community: business cycle synchronization approach
title_fullStr Monetary union for the development process in the East African community: business cycle synchronization approach
title_full_unstemmed Monetary union for the development process in the East African community: business cycle synchronization approach
title_sort monetary union for the development process in the east african community: business cycle synchronization approach
publisher Academic Journals
publishDate 2011
url http://irep.iium.edu.my/7397/
http://irep.iium.edu.my/7397/
http://irep.iium.edu.my/7397/1/Monetory__Union.pdf
first_indexed 2023-09-18T20:16:46Z
last_indexed 2023-09-18T20:16:46Z
_version_ 1777407840048119808

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