JEFMS Journal

ABSTRACT:

Credit to Sector private is known as financial resources given to the private sector, including loans and advances, non-equity securities purchases, trade credits, and other receivables, that establish a claim for recovery. In a variety of ways, financial institutions contribute significantly to people's socio-economic development. The relationship between economic growth and credit to private sector has attracted attention among scholars in the recent past who have articulated empirical and theoretical studies on the relationship between economic growth and credit to private sector. Corruption has been rampant among COMESA counties. This article incorporated the moderation effect of corruption in the private sector access to credit and found that, tough positive, corruption does not influence credit to private sector. This can be alluded to the fact that, any investor not necessarily bribe to get credit for the business. To improve credit access, the cost of credit must be reduced, the interest rate cap removed, and the collateral registry must be expedited. The insufficiency of credit expansion had a negative impact on economic growth in countries in COMESA trading bloc.

KEYWORDS:

Corruption Perception, Credit To Private Sector, Gdp And Comesa

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