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Investigating the Effects of Migrant Remittances on the Economic Growth of Cameroon

Ofeh, Moses A. Muandzevara, Ali T.
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    Low and unsteady economic growth rates and strategies for fostering growth are major issues of concern for Cameroon. The paper attempted to investigate the effects of remittances on the economic growth of Cameroon. To achieve the objective for a clearer understanding of the dynamics of migrant remittances in relation to economic growth in Cameroon, the least squares method of multiples regression was exploited to analysze data collected from 1980 to 2013. The results revealed that migrant remittances to the tune of 1.5% positively but insignificantly explained economic growth in Cameroon.Further, consumption expenditure; government expenditure and exports were found to positively but significantly explain growth while investment expenditure was found to positively but insignificantly determine growth. Only imports alone stood to negatively and significantly influence economic growth in Cameroon.The value of R-squared Adjusted showed that 85% of variation in GDP was explained by variations in the independent variables specified in the model. Therefore, any policy measure aimed at improving upon the level of economic growth in Cameroon must give consideration to migrant remittances.


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