Determinants of external debt: the case of Malaysia / Siti Maryam Sa’at

• Main Author: Sa’at, Siti Maryam
• Format: Thesis
• Language: English
• Published: 2018
• Subjects: Credit. Debt. Loans
• Online Access: https://ir.uitm.edu.my/id/eprint/93853/1/93853.pdf; https://ir.uitm.edu.my/id/eprint/93853/
• Institution: Universiti Teknologi Mara

Over the past 30 years, Malaysia's external debt has been on an increase, with the increase closely linked to a number of economic factors. The changing quantities and qualities of external debt have become a national concern. This study empirically investigates the determinants of external debt evidence from Malaysia. This study are to examine the relationship of the external debt (ED) as a dependent variables and the Consumer Prices Index (CPI), Gross domestic product (GDP), Exchange rate (EXR) and Unemployment Rate (UR) as the independent variables. The Ordinary least square (OLS) method is been apply in this study with the time spanning in quarterly from 2007 to 2017 which is totally with 44 set of data observation. From the result of multiple regression analysis, it shows that Consumer Prices Index (CPI) and Unemployment Rate (UR) have a positive and significant in influencing the external debt in Malaysia. Furthermore, Gross Domestic Product (GDP), and Exchange Rate (EXR) have a negative and significant relationship between in the external debt.