Financial integration amongst the SACU countries : evidence from interest rate pass-through analysis

摘要: Using cointegration and error correction techniques, as well impulse response analysis, the study examined extent of interest rates pass-through to measure degree financial integration amongst SACU countries. The results confirm dominant role South Africa in Union show that there exists a hierarchy systems each member state with Africa, Namibia at top, followed by Swaziland, then Lesotho, Botswana bottom. further suggest prevailing between is mainly result policy convergence, rather than market which limited arbitrage opportunities lack attributed poor institutional developments investment BLNS countries when compared Africa.