The Effect of Sovereign Debt on Economic Growth: The Case of Oil-Rich Countries


  • Hussein Salameh
  • Ahmed Alodadi King Khalid University
  • Khaled Alzubi Hashemite University


Key studies have identified the need to study the role of sovereign debt on economic growth, particularly in relation to countries with heavily oil-based status economies. This paper applies a panel vector autoregressive approach to examine the impact of sovereign debt on economic prosperity in several oil-rich countries between 2002 and 2017. The results show that in oil countries, like other developing countries, government debt has not had a positive impact on enhancing economic growth, resulting in a reluctance of such countries to invest debts in production, and a desire for the type of diversification of sources of income observable in most advanced countries.

Keywords: Co-integration, Sovereign Debt, Oil-rich Countries

JEL Classifications: A10, B22, B23, E23, E52, E62



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Author Biographies

Hussein Salameh

Hussein Mohammad Salameh• Academic Record: Dr. Salameh has a PhD degree in Finance from Arab Academy for Banking and Financial Sciences (2006), a MBA in Finance from University of Jordan (1994), a BSc degree in Civil Engineering from Yarmouk University (1985). • Teaching Record: Dr. Salameh has 10 years' academic experience in teaching finance topics for B.A, MBA and PhD students in Middle East Countries. He teaches the last version of American books Publishers like McGraw Hill, Southwestern and Pearson, in addition he is specialist in Derivatives (Options, Futures & Forwards), Portfolio Management and Investment, Financial Analysis & Corporate Finance. Furthermore, He supervised one PhD dissertation in Syria and was a discussion committee member for PhD dissertations from Jordan, Syria and Lebanon.• Training Record: Moreover, He conducted training courses in Middle East and Turkey for Trainees from Jordan, Syria Sudan Saudi Arabia, Libya and Palestine. • Researches Record: Dr. Salameh published 20 researches in countries from different continents around the Globe in several topics in Finance. Google Scholar citations:46, h–index:5. Scopus Author ID: 36544307600. h-index: 2, Citations 6, Research-Gate Score: 6.65, h-index:3, Researcher ID: B-9579-2019, , URL:, ORCID:, SSRN Author ID: 3355461. • Administration Positions: Finally, he has held leading positions like Accreditation, Quality Assurance and Development Department Manager at University or College levels.

Ahmed Alodadi, King Khalid University

Ahmed Alodadi (King Khalid University): Dr. Ahmed Alodadi was born in Abha (Saudi Arabia) in 1972. He received his M.Sc. degree in economics from King Saud University, Riyadh, Saudi Arabia (2007), and his Ph.D. Plymouth University, Plymouth, UK (2016). Ahmed is Assistant Professor of economics at the department of Business School of King Khalid University. His research is situated in the field of economic growth & development. He is the author or coauthor of several  papers in international refereed journals as well as several  conferences. He is a reviewer for Tourism Analysis, US (ABS2*).

Khaled Alzubi, Hashemite University

Prof. Khaled Alzubi: I obtained my M.A. and Ph.D. degrees from Kansas State University, USA, and my B.A. from Yarmouk University, Jordan. I have published 31 research papers in local and international journals, and have participated in over 15 international financial conferences all over the Middle East and Europe. Furthermore, I have taught and supervised students on various academic levels: Bachelor, Master, and Doctorate. Previously at the Hashemite University in Jordan, amongst many positions, I was privileged to take on the following:ü  Dean of College of Economics & Administrative Sciencesü  Vice Dean of the Collegeü  Chairman of the Departmentü  Portfolio Manager for the Investment Committee.ü  Head of The Internal Control Department 


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How to Cite

Salameh, H., Alodadi, A., & Alzubi, K. (2020). The Effect of Sovereign Debt on Economic Growth: The Case of Oil-Rich Countries. International Journal of Economics and Financial Issues, 10(2), 262–267. Retrieved from