Journal of Economic Policy and Management Issues

The impact of government cash transfer on household welfare and its influence on the adverse effects of health shocks: Kenya’s experience

A.M. Owino-Owiti, D.K. Manda, S. Nyandemo — Thu, 18 Sep 2025 00:00:00 +0000

This study assessed the impact of the Government Cash Transfer (GCT) on households’ welfare and its influence on those who experienced health shocks. The endogenous switching probit technique that addresses potential selection bias in the mode was employed. The average treatment effects on the treated (ATTs) show that beneficiary households were likely to be more food-poor by 27.41 percent but less asset-poor by 40.11 percent. This can be attributed to delays in the disbursement of the cash transfer. The results based on the average treatment effect on the untreated (ATU) and average treatment effect (ATE) suggest that overall, GCT has the potential to improve household food consumption but not asset levels. A possible pointer that it may not be sufficient to improve these two welfare indicators concurrently. The real value of the GCT has also continued to diminish while the various expenditure items increase due to inflation. Further, the results for poor households that also experienced health shocks suggest that GCT has the potential to cushion households’ welfare against health shocks. This study proposes an increase in the amount of the GCT and a consideration to change the funds disbursement policy to monthly instead of bi-monthly.

The impact of regulation on the spread and growth of mobile money in selected sub-Saharan African countries

M.S. Masoetsa, R.I. Thamae, L.P. Sekantsi — Thu, 18 Sep 2025 00:00:00 +0000

Several countries in sub-Saharan Africa (SSA) have implemented regulatory reforms in the mobile money sector since 2011. Therefore, this paper investigates the impact of mobile money regulation on mobile money spread and growth in 16 selected SSA countries from 2011 to 2018, a period allowing for an analysis of foundational regulatory effects before the confounding influence of recent global disruptions or major technological shifts. The baseline results from the estimated panel data fixed effects model indicate that more enabling mobile money regulatory frameworks promote mobile money spread and growth in the selected SSA countries. Further analysis shows that authorisation and know your customer requirements encourage mobile money spread, while consumer protection and enabling infrastructure and investment environment promote mobile money growth. Thus, policymakers and regulators, in their efforts to design regulations that protect financial system integrity and stability, should concurrently ensure mobile money regulation is more enabling to promote its widespread adoption and address the needs of the underserved.

The local government finance and development in Zimbabwe: An exploratory review

V.D. Takawira, T. Saungweme — Thu, 18 Sep 2025 00:00:00 +0000

This study examines the pathways for enhancing the financial sustainability of urban councils in Zimbabwe. The study adopts both theoretical and case study approaches to critically review the existing local government financing systems, further analysing opportunities to enhance urban councils' financial sustainability through diversified revenue sources, improved financial governance, and strategic partnerships. In light of the above, this study adds to the broader discourse on achieving National Development Strategy I, Vision 2030, Sustainable Development Goals and other international conventions through promoting effective and sustainable urban council financing and development in Zimbabwe that rely less on rate payments to support council operations. The study proposed a conceptual framework that recommends urban councils in Zimbabwe to create special economic zones and the diversification of business ventures, among other options, by exploring public-private partnerships.

Asymmetric effects of global oil price on food insecurity in Nigeria: A NARDL approach

G.C. Aye, M.G. Ugwuh , J.A.C. Ezihe — Thu, 18 Sep 2025 00:00:00 +0000

This study investigates the short-run and long-run asymmetric effects of world oil price fluctuations on food insecurity in Nigeria, an oil-exporting country that paradoxically struggles with local oil refining and remains heavily reliant on fuel imports. The problem addressed is the disconnect between Nigeria’s status as a crude oil exporter and its vulnerability to global oil price shocks, which exacerbate food insecurity through inflationary pressures, rising transportation costs, and exchange rate volatility. Using a Nonlinear Autoregressive Distributed Lag (NARDL) model, we analyze how positive and negative changes in oil prices affect food insecurity, while accounting for exchange rate movements and inflation from 1970-2020. The results reveal significant asymmetric effects, with negative oil price shocks having a more pronounced effect on food insecurity than positive shocks, both in the short and long run. Both positive and negative shocks consistently worsen food insecurity, suggesting that oil price volatility intensifies the fragility of Nigeria’s food systems. The error correction mechanism indicates a fast speed of adjustment to long-run equilibrium. These findings highlight the need for policies to mitigate the adverse effects of global oil price volatility on food security in Nigeria, including stabilizing exchange rates, controlling inflation, and developing local oil refining capacity to reduce the economy's reliance on fuel imports. Strengthening food systems through diversification and sustainable agricultural practices is also critical.