Skip to content
Research Article Open access CC BY 4.0

Capital Flight and Exchange Rate Policy in Covid-19 Context: What are the Explanatory Factors in the Franc Zone and Non-Franc Zone Countries?

Tchoffo Tameko Gautier

South Asian Journal of Social Studies and Economics · pp. 20–34 · Published 14 Feb 2023

10.9734/sajsse/2023/v17i3638

Abstract

The aim of this study is to make a comparative analysis of the macroeconomic and institutional determinants of capital flight between franc zone and non-franc zone countries over the 1984-2018 period. The pooled mean groups (PMG) regression results show that the exchange rate negatively and significantly determines capital flight in the franc zone countries, while in the non-franc zone countries, the exchange rate positively but insignificantly determines capital flight. We are more interested in this subject because of the persistence of capital flight in these areas after the Covid-19 crisis. Our main recommendation is to put in place policies to control exchange rate fluctuations, especially in the non-franc zone countries. This could help limit expectations of capital flight when for cyclical reasons, exchange rates depreciate.

Capital flight exchange rate franc zone non-franc zone

Cited by 0

No indexed citations yet.

Article metrics

Real usage data collected on this platform.

0

Page views

0

PDF downloads

0

Outbound clicks

0

Citations

Views by country

Approximate, from request IP at view time — not citizenship or institution. Countries with fewer than 5 views are grouped as "Other".

No views recorded yet.

Traffic sources

Referring site, by host.

No traffic recorded yet.

Views and downloads exclude known bots/crawlers. Citations combines this platform's own DOI-resolved index with each external source's own reported total — see Cited by above for individually listed citing works. Last refreshed 0 seconds ago.