Browsing by Author "Matongela, Albert M."

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    Determinants of manufactured export performance in Namibia
    (University of Namibia, 2012) Kaakunga, Esau K.; Matongela, Albert M.
    The current study looks at the determinants of manufactured exports in Namibia during the period from 1970 through 2009. In line with the international trade and finance literature, the paper focuses on the investment GDP ratio; foreign income; real effective exchange rate; real gross domestic product; consumer price index; and export processing zones to be the key determinants for manufactured exports in Namibia. Due to the nonstationarity of many macro-economic variables, the Johansen Cointegration Procedure is adopted in this study. Most of the results came out as expected. Investment GDP ratio and foreign income have a positive effect on manufactured exports. The results indicate that real effective exchange rate and consumer price index, is negatively related to the manufactured exports in both equations. This implies that exchange appreciation and currency overvaluation exert adverse effects on production for export. Surprisingly, the results indicate that the export processing zones relate negatively to manufactured exports and the coefficient is insignificant in all the equations. The key recommendations from this paper are that there is a need to review the current export processing zone regime with the purpose of identifying new amendments to the framework legislation in order to make the zone more competitive. Thus, there is also a need to relook at various investment incentives that are aimed at promoting manufactured exports with the aim of removing some constraints that might hinder companies in realising full benefits from these regimes.
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    Inflation and stock market development in Namibia: Evidence from co-integration and error correction modelling
    (University of Namibia, 2013) Kaakunga, Esau K.; Matongela, Albert M.
    The current study looks at the relationship between infl ation and stock market development in Namibia using modern time series econometric techniques that of co-integration and error correction modelling. The main results in this paper indicate that real gross domestic product promote stock market development in Namibia. More particularly, changes in gross domestic product impacts positively on market capitalization and the value of domestic shares traded. The results also indicate that there is a relationship between infl ation and market capitalization and value of domestic shares traded. However, this relationship is insignifi cant. The foregoing implies that Namibia should place emphasis on the policies that promote gross domestic product, because this is benefi cial for the development of the stock market. Although the relationship between stock market development indicators and infl ation is insignifi cant, there is a need for the country to continue pursuing monetary policy that ensures a low and stable infl ation. This is important because low and stable infl ation encourages stock market activities. In other words, it is important for monetary policy to remain fi rm and conducive in future for the betterment of sound and sustainable development of the stock market and general economic activities.