Department of Finance and Business Studies, University of Dhaka, Dhaka, Bangladesh
Review Article
Does Deficit Financing Affect the Money Supply in a Country? Evidence from Bangladesh
Author(s): Uzzal Hossain* and Intekhab Alam
The main purpose of the study was to examine whether deficit financing and various components of financing affect the money supply in a
country. A total of 20 years (from 2000 to 2020) time-series data has been utilized to examine whether there exists a significant relationship
between deficit financing in national budget and money supply. It showed that there is a significant relationship between deficit
financing and money supply. Moreover, foreign financing, financing through “National Savings Scheme” (NSS) and other non-bank
financing are significantly related to money supply but there is no significant relationship between short-term and long-term borrowing and
money supply... Read More»
DOI:
10.37421/2223-5833.2023.13.497