Analyzing the Influence of Foreign Debt on Non-Oil Economic Growth: A Case Study of Iraq Using the Autoregressive Distributed Lag (ARDL) Model from 2003 to 2022

Authors

  • Salam Anwar Ahmed Department of Economic, College of Administration and Economics, Kirkuk University, Kirkuk, Iraq
  • Hareth Adnan Mohammed Department of Economic, College of Administration and Economics, Kirkuk University, Kirkuk, Iraq
  • Saif Sabah Hammood Algburi Department of Economic, College of Administration and Economics, Kirkuk University, Kirkuk, Iraq

Keywords:

external debt, performance

Abstract

Developing countries' external debt is a strategic tool used by creditor countries to exert pressure on debtor countries, creating a complex dynamic. This article explores the determinants of Iraq's external debt. The methodology used includes unit root tests, long-run and short-run analyzes using autoregressive distributed (ARDL) models, and diagnostic tests to ensure model validity. The results reveal that external debt has a significant negative impact in the long and short term on non-oil economic growth in Iraq. The study suggests wise strategies for managing debt, diversifying sources of financing, and prioritizing political stability and infrastructure development to promote economic growth.

References

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International Monetary Fund: https://www.imf.org/ar/Home

Arab Monetary Fund: https://www.albankaldawli.org/

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Published

2024-01-26

How to Cite

Ahmed, S. A., Mohammed, H. A., & Algburi, S. S. H. (2024). Analyzing the Influence of Foreign Debt on Non-Oil Economic Growth: A Case Study of Iraq Using the Autoregressive Distributed Lag (ARDL) Model from 2003 to 2022. Academic Journal of Digital Economics and Stability, 37(1), 19–29. Retrieved from https://economics.academicjournal.io/index.php/economics/article/view/882

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