INTEREST RATE PREDICTABILITY IN SOME SELECTED AFRICAN COUNTRIES

This study tries to verify the predictive power of implicit forward rate term structure interest rates in Africa. We used data from Egypt, Ghana, Kenya, Nigeria and Republic South A modified version yield premium models Shiller McCulloch (1990) were test rate, rather than rational expectations hypothesis. both FMOLS DOLS estimators, since they are more consistent OLS with non-stationary series. The overall results show that does not have a significant It therefore appears operators on African markets should rely those predictions.