Abstract
The study demonstrates how Information and Communication Technologies (ICT) and institutional quality affect the relationship between finance and growth in four North African countries. This study further expands on the current literature on the relationship between financial development and economic growth by examining how the mediating effect of the two variables (institutional quality and ICT diffusion) will directly and indirectly relate to financial development to grow the economy. Panel data from 2004 to 2022 show that there exists an obvious positive relationship between financial development and economic growth, especially if a country has an acceptable amount of ICT usage and an acceptable level of institutional quality. The evidence underscores that expanding ICT diffusion and strengthening institutional frameworks are major driving forces of the progression of the financial sector and, consequently, economic growth in North African countries, shaping modernization, competitiveness, and sustainable development across diverse national contexts. Therefore, to obtain significant improvements to the financial system, a multi-faceted strategy with a high degree of technological capability and strong institutional capacity is necessary. As such, it is recommended that each government in North Africa implement broad reforms that promote technological innovation and institutional reform. These include implementing anti-corruption laws, promoting the rule of law, and reducing bureaucracy.