Browsing by Author "Nyambe, Jacob M."

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    An analysis of the effectiveness of inflation targeting monetary policy framework in South Africa
    (Journal of Economics, Management and Trade, 2019) Sheefeni, J. P. S.; Makuvaza, Leonard; Nyambe, Jacob M.
    This study is premised on investigating the effectiveness of inflation targeting in South Africa. The methods of analysis include the Vector Autoregressive model (VAR), the unit root test and cointegration test. The analysis was conducted with the use of EViews version 9. The findings from the study revealed that the response of inflation is not consistent with the Taylor rule hence increases in the repo rate meant to reduce inflation actually increase the inflationary pressures in the economy. This is due to the composition of the Consumer Price Index. Housing constitutes the largest weight on the CPI hence this has an impact on how the Repo rate affects inflation. The autoregression model of inflation showed that the sum of the coefficients is less than one (0.965) showing that inflation targeting has effectively reduced the persistence of inflation in South Africa. Thus monetary framework in South Africa seems to be effective and should thus be advanced for wider economic benefit.
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    Macroeconomic determinants of commercial banks’ liquidity in Namibia
    (Progressive Academic Publishing, 2016) Sheefeni, Johannes P. S.; Nyambe, Jacob M.
    Searching for new ways remains a primary concern among scholars. In this paper the macroeconomic determinants of commercial banks’ liquidity in Namibia were considered and analysed. The unit root, bound test for cointegration and error correction model were employed using quarterly data covering the period 2001 to 2014. The results revealed that real gross domestic product is the main determinant of commercial banks’ liquidity in Namibia. It was also found that monetary policy rate is positively related to banks’ liquidity though statistically insignificant. On the contrary, the results revealed a negative relationship between inflation and commercial banks’ liquidity.