In recent years, sub-Saharan Africa has begun to enjoy sustained growth. But continued financial integration might expose these economies to financial contagion. This study models monthly interest-rate volatility for six African nations,from 1992 to 2011, using Generalized Autoregressive...

We analyze the effects of monetary policy on economic activity in the proposed African monetary unions. Findings broadly show that: (1) but for financial efficiency in the EAMZ, monetary policy variables affect output neither in the short-run nor in the long-term and; (2) with the exception of...