Natural Resource Revenue and Infrastructure in Sub-Saharan Africa
- Nosakhare Liberty Arodoye
- Eseosa Joy Sowemimo
- ( paper pages. 287 - 312 )
Abstract
This study investigated the impact of total natural resource rents on
aggregate infrastructure as well as various infrastructure types taking into
account institutional and political environments in forty SSA countries for
periods ranging from 2005 to 2018 using both the two-step system GMM and the
panel data version of the FMOLS. Arising from the empirical assessments, the
study revealed that natural resource rents exert negative and not significant
impact on aggregate infrastructure, but, this impact exhibits mixed findings
across various infrastructure types and across the various sub-regions of SSA,
but with the interaction of natural resource rents and governance factors, it
exerted negative and significant effect on aggregate infrastructure. Given the
empirical outcomes, governments in the SSA countries should focus on building
strong and efficient institutions to allow natural resource rents transmit into
building strong and resilient infrastructure for the various sub-regions of the
SSA.
Citation
Nosakhare Liberty Arodoye, Eseosa Joy Sowemimo.
2022.
"Natural Resource Revenue and Infrastructure in Sub-Saharan Africa"
The Nigerian Journal of Economic and Social Studies,
64 (2): 287 - 312.
JEL Classification
N57, H54, O43, C33
