Private Remittances Received and Household Consumption in Ghana (1980-2016): An ARDL Analysis with Structural Breaks

This study examined the short and long-run effects of private remittances on household consumption in Ghana from 1980 to 2016, controlling for structural breaks. Autoregressive Distributed Lag (ARDL) technique was used to investigate the relationship. Results showed that remittances positively impacted household consumption in Ghana in both the short and long-run howbeit, statistically insignificant. Hence, it was recommended, among other things that the government of Ghana collaborates with financial institutions to make remittance less expensive to encourage more remitting from the diaspora.