Digital infrastructural development and inclusive growth in Sub-Saharan Africa.

Abstract

The study assesses the effect of digital infrastructural development on inclusive growth in 44 Sub-Saharan African countries from 2000 to 2020. The study adopts the Driscoll-Kraay strategy to address cross-sectional dependence and the Newey-West standard errors to address errors-related problems. The study adopted the four indicators of digital infrastructures and their component score to determine their effect on inclusive growth which ensures equitable distribution of resources in an economy. The findings of the study reveal that inclusive growth in Sub-Saharan Africa is enhanced by the number of individuals using the internet, the number of fixed broadband subscribers, fixed telephone and mobile cellular subscriptions per 100 adults. The findings further reveal that digital infrastructures enhance the level of inclusive growth in Sub-Saharan African economies irrespective of whether the countries belong to the lower-, middle- and upper-income groups. The study recommends policymakers augment their investments in digital infrastructure and human capital to raise the level of inclusive growth.