Does Inclusive Growth Matter for Regional Integration in Africa? An Empirical Assessment

Authors

Mohammed Shuaibu, Ahmadu Bello University, ZariaFollow
Mamello Nchake, National University, LesothoFollow

Abstract

Inclusive growth is an important channel through which African countries can foster higher regional integration especially through trade. This is because many African countries are characterized by exclusive growth, small and fragmented domestic markets that are landlocked and often prone to external shocks. Using an augmented gravity specification, this paper conducts an empirical investigation of the relationship between regional integration and inclusive growth in Africa. The adapted model is estimated using ordinary least squares, Pseudo Poisson maximum likelihood estimator and the Blundell-Bond system generalized method of moment estimator. The empirical results reveal that inclusive growth plays a vital role towards intra-regional trade in Africa. The findings also support the need to strengthen regional and national institutions as well as provision of infrastructure. The paper makes a case for consistent and integrated national and regional policies especially with respect to the pursuit of broad based growth.

Recommended Citation

Shuaibu, Mohammed and Nchake, Mamello (2018) "Does Inclusive Growth Matter for Regional Integration in Africa? An Empirical Assessment," International Journal of African Development: Vol. 5: Iss. 1, Article 6.
Available at: https://scholarworks.wmich.edu/ijad/vol5/iss1/6