Financial Openness,

The study examined the role of financial openness and foreign remittances inflows in capital market development in Sub-Saharan Africa over the period 1990 to 2023. The specific objectives of the study were to find out whether financial openness (FOPN), foreign remittances inflows, interest rate, exchange rate and inflation rate significantly affect capital market development in the Sub-Saharan Africa countries. Nigeria, Kenya and South Africa were used as sample++ size for the Sub-Saharan Africa capital markets. Using the panel fully modified least squares econometric technique, it was found that financial openness has a strong positive relationship
with capital market development in Sub Sahara Africa; foreign remittances inflows has a weak inverse relationship with capital market development, exchange rate has a weak positive effect on capital market development; and while interest rate and inflation rate has a strong negative relationship with capital market development in Sub-Sahara Africa countries. The study recommend among others that, governments and regulators should review current policy on foreign remittances with a view to repositioning it so that it will be able to attract more inflow of remittances and thereby impacting positively on the overall development Sub Sahara Africa capital markets. For instance, they should deliberately reduce the current high cost often associated with remittances inflow to the countries, and by so doing large portion of remittances
received into these countries can then be utilized for innovative financial products to constantly deepen and broaden the Sub Sahara Africa capital markets