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This study explores the financial sustainability of microfinance institutions (MFIs) in the economic context to identify how macro-level economic decisions affect the micro-level decisions in the microfinance sector in South Asia. For that purpose, the data of 409 South Asian MFIs combined with the macroeconomic variables of respective countries are used over the period 1999–2017. The empirical analysis uses a fixed-effect model (FEM) to analyse the unbalance panel data of microfinance institutions and macroeconomic variables. We employ two-stage least squares (2SLS) model for robustness and System Generalized Method of Moment (GMM) to address the potential endogeneity and over-identification bias. The results reveal that economic indicators such as foreign investment, human development, inflation, interest rate, private credit, and labour force participation have negatively influenced financial sustainability except for the GDP growth. The overall economic results seem imperative from the good-governance perspective of MFIs. Besides, the government and microfinance policymakers need to give due consideration to the macro-level economic decisions to achieve the financial sustainability of MFIs.JEL Classification:A12, G21, G28, O1, Q01

The primary objective of the current study is to examine the social issue of energy poverty from a multi-dimensional perspective in Pakistan’s national, sub-national, and urban-rural regions. The universally attributed Alkire and Foster indexing approach and globally organized PSLM (Pakistan Social and Living Standard Measurement) data from 2010–2011 to 2019–2020 were used to calculate numerical results. The study’s empirical findings emphasize that multiple-attribute energy poverty is primarily a rural phenomenon in Pakistan and its provinces. Furthermore, the time-variant situation reveals that with a shorter (longer) period, energy poverty exhibits a hybrid (declining) trend for Pakistan as a whole, its four provinces, and its regions. Finally, decomposability analyses of population subgroups and key dimensions show that households in two provinces (Sindh and KPK) and three attributes (cooking, home appliances, and entertainment) are the primary contributors to multi-dimensional energy poverty. Hence, to achieve the UN’s Millennium Development Goals, i.e., SDG7, by 2030, several measures must be implemented rapidly, particularly in rural areas and the provinces, especially Sindh and KPK, such as providing easy access to modern energy services, reducing load shedding and energy shortfalls through advanced technology adoption, and improving households’ living standards by reducing financial poverty. All of these solutions will assist in rapidly reducing energy poverty at all levels, paving the way for achieving the zero energy poverty goal (SDG7) by 2030.

This empirical work aims to investigate the long-run impact of climatic factors (i.e., CO2emissions, precipitation, and temperature), and non-climatic factors (i.e., cultivated area, fertilizer consumption, and rural labor force) on rice production in selected major Asian rice-producing countries over the period 1961–2016. The results of the heterogeneous panel cointegration test show the existence of a long-term equilibrium relationship among the variables. The results of DOLS reveal that climatic factors such as CO2emissions and temperature significantly reduced rice production in the long-run, while precipitation increased rice production in the long-run. Further findings show that non-climatic factors including cultivated area, fertilizer consumption, and rural labor force significantly enhanced rice production in the long run. It is evident from the findings that precipitation and production factors such as cultivated area, fertilizer consumption, and rural labor force played a vital role in increasing rice production and secure food security in major Asian rice-producing countries. Based on the present findings, this study suggests that to reduce the adverse effects of climate change and ensure food security, there is a need to improve adaptation strategies.

Developing countries like Pakistan are facing issues of environmental degradation. The use of non-renewable energy consumptions for economic growth sets the ground for environmental degradation, and its consequences cannot be ignored. It is, therefore, necessary to identify such determinants, model the nexus and explore the feedback effect that may play a constructive role in mitigating the environmental issues. This study aims to probe the robust nexus between carbon emission, energy consumption, and economic progress both in bivariate and multivariate models for 1971–2019 in Pakistan. Variables’ robustness and interaction are investigated using the Johansen co-integration, and Auto-regressive Distributed Lag bound testing method for estimating the long-run relationship at the significance level of 5%, respectively. The examined results of Auto-regressive Distributed Lag shows that energy consumption, economic growth, urbanization, research and development, and forest area have a positive and significant impact on carbon emissions of Pakistan in the long run while in the short run urbanization and forest area have found a negative effect on carbon emissions The empirical results of Granger causality are studied in a Vector Error Correction Model framework entail that bidirectional causality exists between energy consumption and CO2emissions across the three causality tests namely short run, long run, and the strong causality.Furthermore, the results indicate a positive and significant impact of a fast-growing economy and energy consumption on CO2emissions, suggesting that economic progress and high energy consumptions are barriers to improve environmental quality in the long run and their impact on the environment is inevitable. Based on the estimated results, it is recommended that introducing cautious energy regulating policy by the assessment of traditional old energy resources and related emissions for long-run economic progress would assist towards a low-carbon prospect. Findings further suggest that the government needs a strong green growth policies framework that encourages energy efficiency and technology innovations for renewable energy targets by eliminating the subsidies over fossil fuel, raised to substitute energy conversion as technology innovations are permanent, and minimize the risk of policy volatility.

Purpose: The purpose of this paper is to examine the effect of savings mobilization on access to credit among smallholder farmers’ in the Birim central municipality of Ghana. Design/methodology/approach: A cross-sectional primary data set was used to estimate the factors influencing smallholder farmers’ access to credit and size of loan to be borrowed using the IV-Probit and IV-Tobit model. Findings: The results of the study revealed that savings mobilization has a positive significant impact on access to credit and the total amount of credit one can borrow as well. Other control variables such as transaction cost and farm size depicted a negative significant impact on access to credit. Land ownership, member of an association, household size, years of farming experience and education also showed a positive significant impact on access to credit. Research limitations/implications: The paper only examined the savings effect on credit accessibility among smallholder farmers in one of the municipality’s in the Eastern region of Ghana. Future research should consider all or many municipality for an informed generalization of findings. Practical implications: This paper provides evidence that smallholder farmers knowledge on the financial market is poor and it would require the policymakers or NGOs to organize financial management training programs so that the farmers high ignorance of the financial market will significantly reduce. Originality/value: Although existing studies have examined smallholder farmers’ access to credit, the unique contribution of this paper is the analysis of the impact of saving mobilization on credit accessibility in Ghana, a major access to credit determinant in the financial market. In addition, those researchers who factored in savings as an access to credit determinant did not also consider the casual relationship between these two variables, thus, the present of endogeneity of which this paper does.

Purpose: The purpose of this paper is to explore and investigate the electricity consumption and production and its linkage to economic growth in Pakistan. Design/methodology/approach: The authors used an augmented Dickey–Fuller unit root test to check the stationarity of the variables, while an autoregressive distributed lag (ARDL) bounds testing approach and causality test were applied to investigate the variables long-term association with the economic growth. Findings: The study results show that electricity consumption in the agriculture, commercial and industrial sector has significant association with economic growth, while electricity consumption in the household and street lights demonstrate a non-significant association with the economic growth. Furthermore, results also exposed that electricity production from coal, hydroelectric, natural gas, nuclear and oil sources have significant association with the economic growth of Pakistan. Originality/value: This study made a contribution to the literature regarding electricity consumption and production with economic growth in Pakistan by using an ARDL bounds testing approach and causality test. This study provides a guideline to the government of Pakistan that possible steps are needed to improve the electricity production and supply to fulfill the country demand.

Purpose: The purpose of this paper is to examine the linkage between agricultural sector foreign direct investment (FDI) and economic growth in Pakistan over the period from 1991 to 2013. Design/methodology/approach: In this study, the stationary analysis is performed by using Phillips–Perron and Dickey–Fuller generalized least squares unit root tests and Johansen cointegration technique to determine the long-run linkage among the studied variables. The robustness of long-run linkage is checked by employing autoregressive distributed lag (ARDL) approach, dynamic ordinary least squares (DOLS), fully modified ordinary least square method (FMOLS) and the canonical cointegration regression (CCR). The causal linkage between the selected variables is investigated by the VECM Granger causality test. Findings: The results of the Johansen cointegration test confirmed a cointegrating association between the variables. In addition, the results of the ARDL, DOLS, FMOLS and CCR showed that agricultural sector FDI has a strong positive significant effect on economic growth in long run. Moreover, the findings of the present empirical study revealed that there exists bidirectional Granger causality between the agricultural sector FDI and economic growth in both short run and long run. Originality/value: The present empirical study filled the literature gap of applying the Granger causality based on error-correction model to examine this relevant issue for Pakistan.

AbstractGovernment investment in environmental protection (Govin) plays a key role in stimulating private green investment (Prinv) to preserve the ecological environment with economic profits. To examine the effect of Govin on Prinv, this study uses data from 2010 to 2020 on green A-listed companies in China and estimates a dynamic panel model by using both the difference generalized method of moments and system generalized method of moments. The results indicate that Govin has a crowding-in effect on Prinv, and this conclusion is confirmed by several robustness tests. Furthermore, we identify revenues as a potential mechanism variable to explain how Govin affects Prinv. In addition, this study finds regional and enterprise ownership differences in the crowding in effect of Chinese Govin. Finally, based on these outcomes, the study suggests that the government should rationally and dynamically adjust the contents of public environmental investment and optimise its structure to effectively promote the development of green, low-carbon, and circular economies.

Purpose: The purpose of this paper is to evaluate the impact of short-term loan (STL) vs long-term loan (LTL) on wheat productivity of small farms in Sindh, Pakistan. Design/methodology/approach: The econometric estimation is based on cross-sectional data collected in 2016 from 18 villages in three districts, i.e. Shikarpur, Sukkur and Shaheed Benazirabad, Sindh, Pakistan. The sample data set consist of 180 wheat farmers. The collected data were analyzed through different econometric techniques like Cobb–Douglas production function and Instrumental variables (two-stage least squares) approach. Findings: This study reconfirmed that agricultural credit has a positive and highly significant effect on wheat productivity, while the short-term loan has a stronger effect on wheat productivity than the long-term loan. The reasons behind the phenomenon may be the significantly higher usage of agricultural inputs like seeds of improved variety and fertilizers which can be transformed into the wheat yield in the same year. However, the LTL users have significantly higher investments in land preparation, irrigation and plant protection, which may lead to higher wheat production in the coming years. Research limitations/implications: In the present study, only those wheat farmers were considered who obtained agricultural loans from formal financial institutions like Zarai Taraqiati Bank Limited and Khushhali Bank. However, in the rural areas of Sindh, Pakistan, a considerable proportion of small-scale farmers take credit from informal financial channels. Therefore future researchers should consider the informal credits as well. Originality/value: This is the first paper to examine the effects of agricultural credit on wheat productivity of small farms in Sindh, Pakistan. This paper will be an important addition to the emerging literature regarding effects of credit studies.

The aim of this study was to use an econometric analysis to investigate the relationship between the agricultural gross domestic product (AGDP) and variables, such as total food production, cropped area, loan disbursed by ZTBL, cooperative loan and total loan disbursed by various institutions in Pakistan. Data were explored from 1960 to 2015; we used time series data collected from secondary sources, including the Pakistan Bureau of Statistics, Statistical Year Books and the Economic Survey of Pakistan. Data were analysed using the Phillips–Perron (P–P) test, and the results were interpreted using the Johansen Co-integration test. We found that total food production, loan disbursed by ZTBL and the total loan disbursed by various institutions had a positive and significant influence on the AGDP, whereas cropped area and cooperatives loan had a negative but insignificant influence on the AGDP. Based on our results, we suggest that the Government of Pakistan formulate and initiate new policies and funding schemes for the development and improvement of the agricultural sector.

During the last decade, the major South Asian countries (Pakistan, India, and Bangladesh) have effectively utilized wind electricity to avoid future energy predicament. However, the wind industry is being influenced by a diverse range of factors. The aim of this study is to develop a value chain model for the South Asian wind power industry, scrutinize both internal and external factors to analyze the viability of present condition and future roadmap to foster the wind energy sector by adopting Strengths, Weakness, Opportunities, and Threats (SWOT) model. Firstly, a novel value chain model was developed for the wind industry. Secondly, we identified the social, economic, and environmental factors, significantly influencing the competitiveness and development of the wind industry through clear and precise examination of strengths, weaknesses, opportunities, and threats in the South Asian perspective. A total of 19 factors were identified and analyzed. Research findings indicate the current situation and future projections of the wind industry in a competitive environment. Finally, we suggested essential policy measures to stabilize the wind industry's growth. This study will serve as a benchmark for the steady development of the wind power industry and towards a secure and sustainable South Asia.