This paper studies the impact of overseas borrowing on economic growth in Morocco over the period spanning from 2000 to 2020. The empirical exploration is based on ARDL approach to co-integration, allowing the interaction between external debt, exports and debt’s source structure. The results show that in long term, external debt and multilateral debt have negative and insignificant impact on economic performance. Capital stock has a positive and significant effect on economic growth. The results are robust to various tests.
Keywords
ARDL, Sovereign External Debt, Economic Growth, Exports, Debt Structure.