Analytical study of financing policies for the agricultural sector in Sudan (1998-2018)

Abstract

The objective of the study is to shed light on the sources and policies of financing the agricultural sector in Sudan, addition to checkup the impact of both internal and external financing on theagricultural production in the short and long run during the period(1998-2018), using the Autoregressive Distributed Lag (ARDL) bounds testing approach. The results arrived that there is a positive impact for each of the government developmental expenditures in the agricultural sector and foreign direct investment in the agricultural sector on the agricultural production in the short and long run, Whereas the effect of bank financing was in the long run only. The study recommended that priority should be given to the development of the agricultural sector through allocating an estimated part of development financing to this sector, in addition to the good management of the monetary financing policy and directing it towards the agricultural sectors.