The effect of infrastructure development on economic growth: The case of sub-Saharan Africa

Abdikarim Abdullahi; Lai Wei Sieng

doi:10.24294/jipd.v7i2.1994

The effect of infrastructure development on economic growth: The case of sub-Saharan Africa

Abdikarim Abdullahi, Lai Wei Sieng

Article ID: 1994
Vol 7, Issue 2, 2023

VIEWS - 640 (Abstract) 579 (PDF)

Abstract

The significance of infrastructure development as a determinant of economic growth has been widely studied by economists and policymakers. Though there is no much debate about the importance of infrastructure on growth, the extent to which infrastructure affects growth in the long run is often debated among researchers. This paper aims to examine the effect of infrastructure development on economic growth in ten sub-Saharan Africa. This study uses balanced panel data of ten African countries, particularly sub-Saharan Africa over the period of 2010–2020 by analyzing a set of independent variables with relation to the dependent, which is GDP per capita. The study has found that water supply & sanitation index and electricity index have positive and significant relationship with economic growth, while transport index and Information & Communications (ICT) have negative relationship with economic growth in these countries.

Keywords

infrastructure development; economic growth; balanced panel data; sub-Saharan Africa

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DOI: https://doi.org/10.24294/jipd.v7i2.1994