Abstract
The study examines the role of monetary policy transmission channels in shaping credit growth across sub-Saharan Africa (SSA) from 1985 to 2024.Using panel data for over 40 countries in the region, the research employed panel ARDL estimation technique to analyse the short and long run effect of the key transmission mechanisms, including interest rate, exchange rate, asset price and credit growth. The result indicates that credit growth as measured by value of stock traded and bank credit to private sector is the most reliable and influential pathway through which monetary policy affects loan expansion in SSA countries. The interest rate and asset price channel both demonstrated a strong significant influence on credit growth. In contrast, the exchange rate is relatively weak in many SSA countries hindered by shallow financial markets and limited exchange rate responsiveness. Furthermore, the analysis highlights that structural reforms such as inflation targeting, financial sector liberalization, and central bank autonomy have contributed to the improved performance of transmission mechanism since the early 2000s. The study concludes by emphasising the need for deeper financial sector development, stronger institutional capacity within central banks, and policies adapted to country-specific economic structure.