The impact of the banking sector development on the financial performance of the communication sector in sierra leone

3.5 Conclusion 
Results from both the theoretical and empirical related studies clearly showed 
that, banking sector development indeed plays a crucial role on the financial 
performance on industrial sector for which the communication sector belongs. 
Most studies concluded with a positive relationship between the two, other 
showed mixed and weak whiles few with a negative relationship. Actually, after 
critical review and analysis of the results and limitations of previous studies, 
the researcher observed that, most of the studies are concentrated on the 
manufacturing and agriculture sector and their relation with the banking sector, 
the other sectors especially the communication sector which is a great player 
to economic development received less or no research interest. Observations 
also revealed, there are existing gaps that compels a more extensive and 
comprehensive research studies to be done in this area. This study shall gear 
towards fixing some of these observed gaps by investigating all four (4) of the 
biggest and long serving communication institutions in Sierra Leone on how 
the banking sector impacted their operations in respect of financial 
performance and sustainability. 

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CHAPTER FOUR
METHODOLOGY
4.1 Introduction
This section discusses the construction of the empirical model specification in 
order to capture the suggested hypothesis of the relationship between 
Institutional performance and Loans & Advances Volume, Interest Rate and 
Debt ratio. The objective of this study is to empirically examine the impact of 
the Banking sector development on the financial performance of the 
communication sector in Sierra Leone. Since interest rate, debt rate and loans 
& advances do influence institutional operational activities an Ordinary Least 
Squares method adopting the use of the Panel ARDL approach on panel data 
to estimate the parameters of the linear regression model employed and also 
to establish the relationship in order to be in line with the study objectives.