Cashflow Management, Macroeconomic Dynamics and Corporate Growth Rate of Listed Firms in West Africa

Inefficient cash flow management and unstable macroeconomic conditions hinder the sustainable growth of listed firms in West Africa. This study explores the interplay of cash flow management, macroeconomic factors, and corporate growth in firms from Nigeria, Ghana, and Cote D'Ivoire. Adopting the ex post facto research design, data from 42 Nigerian firms, 9 Ghanaian firms, and 2 firms in Cote D'Ivoire (2013-2022) were analyzed using panel regression technique. The findings reveal that effective cash flow management significantly boosts growth, especially in Nigeria and Ghana. Cash flow from financing positively impacts growth in all three countries. While moderate inflation stimulates growth in Nigeria, it has no significant effect in Ghana and Cote D'Ivoire. GDP growth influences corporate growth in Nigeria but not in the other countries. The study recommends the importance of tailored financial strategies and macroeconomic stability in promoting corporate growth, urging policymakers and managers to focus on cash flow efficiency and strategic financing.