The Impact of Fluctuations in External Financing Sources on Gross National Income in Developing Countries Amid International Economic Crises (An Econometric Study of a Sample of Developing Countries for the Period between 1985-2021)

This study aims to elucidate the nature and magnitude of the relationship between Gross National Income (GNI) in developing countries and external sources of financing, in the context of successive international economic crises over the past three and a half decades, within an international economic system characterized by imbalances in safeguarding the interests of all parties equally. To achieve the objectives of the study, the descriptive methodology was employed to diagnose the phenomena under examination and clarify their manifestations, along with an analytical approach to identify the economic impact of the crises under study on GNI in developing countries, focusing on the effects on external financing sources. Additionally, an econometric study was conducted on a sample of 60 developing countries for the period 1985-2021, utilizing panel data through Quantile Regression (QR). The results of the study concluded that developing countries are typically in urgent need of external financing, which is negatively impacted by international economic crises, thereby influencing the GNI in these economies. The study's findings also indicated a disparity in the effects of external financing sources on developing economies during crises, where export revenues, official aid, and remittances exhibited positive effects, while foreign direct investment, indirect investment, and total loans had negative effects.