E-government development and governance in MENA countries: an empirical study

Abstract

Objectives:The objective of this study is to examine the impact of e-government on a battery of governance indicators in a sample of 17 Middle East and North African countries during the period [2003][2004][2005][2006][2007][2008][2009][2010][2011][2012][2013][2014][2015][2016][2017][2018][2019]. Methods/Approach: The analysis is based on advanced econometric tools, which consist of second-generation panel data techniques allowing the control of cross-section dependence and slope homogeneity when estimating the short-and long-run impacts of e-government on governance. Results: The preliminary analysis suggests the presence of slope homogeneity and cross-section dependence in the data, while the second-generation panel unit root test indicate that all variables are stationary at first-difference. The second-generation panel cointegration test indicates the existence of long-run relationships between e-government adoption and governance indicators. Furthermore, the PMG-ARDL confirms that role of e-government in reducing corruption and improving the rule of law in the long-run. On the other hand, no significant impact of e-government on voice and accountability, government effectiveness, and regulatory quality were detected. The short-run analysis also reveals no effects on governance. Conclusions: These results are important for improving institutional quality in the MENA region via the adoption of e-government.