Development In African Countries Research Articles

Is the causal relation between foreign direct investment, trade, and economic growth complement or substitute? The case of African countries

This study examines causal nexus between foreign direct investment (FDI) and economic growth for 25 African countries within a model that also takes into consideration trade openness using more recent panel data set over the period 1980–2018. We used panel bootstrapping cointegration techniques that account for cross‐sectional dependence to test whether there is a long‐run cointegration relationship or not. The Granger causality approach is employed to conduct predictive analysis among the panel series. Our findings indicate the presence of a long‐run equilibrium nexus between the variables, and we found a bidirectional causality between foreign direct investment, trade openness, and economic growth. This study provides an insight for governments and policymakers in this region to restructure FDI and trade policies in such a way that its positive spillover would spread across the rural areas and local firms, thereby leading to an all‐inclusive sustainable economic growth and development of African countries in the long run.

The impact on development of technology and knowledge transfer in Chinese MNEs in sub-Saharan Africa: The Ghanaian case

The presence of Chinese multinational enterprises in Africa brings with it new technology and knowledge. Yet there is a lack of research on the impact of this on development in African countries. China's recent industrial development may be more appropriate for Africa's development than Western models, and the adoption of technological knowledge from Chinese firms may provide a more sustainable path to Africa's future development because of cultural, institutional, social and historical synergies. However, there may be major barriers to transferring appropriate technology and knowledge. Findings from our study in the construction industry in Ghana suggest an absence of specific technology and knowledge transfer policies and strategies, with human resource development practices, language and some cultural issues also creating barriers. Bidding practices of Chinese firms investigated also appear to militate against successful technology and knowledge transfers to local partners and staff. Yet there appears unrealised potential that has not been addressed by firms. We suggest measures that may be taken to realise this potential and point to implications for policy and future research on the development potential of China in Africa.

Blockchain and catching-up in developing countries: The case of financial inclusion in Africa

Blockchain technology, born as a tool to support Bitcoins (the most popular and controversial cryptocurrency in the world) has set itself in a very short time as a disruptive technology able not only to revolutionize existing businesses but also to create new ones. This work illustrates the main characteristics of the blockchain and its functioning, and then focuses on the potential applications that can be implemented for developing countries. More specifically, the work, considers the case of financial inclusion in Africa, on the basis of the Global Findex 2017 data, the World Bank Survey on financial inclusion. The empirical analysis identifies the weaknesses in the current financial system in Africa and constitues the basis to discuss potential blockchain solutions to reduce the current level of financial exclusion and pursue sustainable development for African countries.

Human Development and Its Effects on Economic Growth and Development

The focus of the current study is to empirically examine the impact of Human Development on Economic Growth and Development in African countries, between 1990 and 2015. The key findings and results of the study suggested the existence of a positive and significant impact of human development on economic growth and development in Africa. The study employed Human Development Index as the main variable of interest with GDP considered as the dependent variable with inflation, capital, investment and labor as control variables. The study also came out with the findings that Labour and foreign aid also have a positive and significant relationship with growth as recorded by most researchers. It was recommended that more efforts should be placed on developing human capacities in all areas. Keywords : Human development, economic growth, random effect, fixed effect * Department of Management Science & Engineering, School of Finance and Economics, Jiangsu University, 301 Xuefu Road, Zhenjiang, Jiangsu, 212013, P.R. China ** Department of Marketing, Koforidua Technical University, P. O. Box Kf 98, Koforidua, Ghana https://doi.org/10.21632/irjbs.12.2.101-109

Is political business cycle an enemy to human development? Empirical evidence from Africa

Extant literature has argued that, with major extension of democracy since the 1990s, political business cycle has become more intense and has made African political systems more fragile. In light of this, this paper examines both the existence of African political business cycles and their impact on human development. It confirms the existence of political business cycles in Africa. Estimates of a panel fixed effects and system-GMM regression techniques for 38 African countries from 1990 to 2015 also suggest that such cycles worsen human development in African countries. This finding is consistent if we limit our analysis to various sub-regions of Africa, and also at two different income levels.

The Long‐run and Short‐run Effects of Foreign Direct Investment on Financial Development in African Countries

AbstractThis paper contributes to the understanding of the other neglected effects of foreign direct investment (FDI) by analysing how FDI affects financial development in the short run and long run for a panel of 49 African countries over the period 1990–2016. The empirical evidence is based on a pooled mean group approach. With three panels differentiated by income level, the following findings are established: first, while there is a positive and significant long‐run relationship between FDI and financial development in Africa, in the short run the effect of FDI on financial development is negative. Second, the effect of FDI is positive and significant in the long run in the three sub‐samples. However, in the short run, the effect of FDI is negative and significant in lower‐income countries and non‐significant in lower‐middle‐income and upper‐middle‐income countries. Overall we find strong evidence supporting the view that FDI promotes financial development in African countries in the long run.

A Hybrid Semantic Mapping Approach to the Genre Classification of Literature The American Novel as an Example

Egypt, as an African country, was tied over its long history with the people of Nile Basin and Horn of Africa. Therefore, cooperation with the countries of Africa aims at consolidating the relations by using and effectuating mechanisms of cooperation in the field of international relations and boosting the role of Egyptian private sector by driving the fields of Egyptian investment in infrastructure projects. Development and growth of relations depended on internal variables and their external impacts and growth of the power of Egypt to be reflected at the end on strengthening the relations between Egypt and the countries of Africa. Egypt's relation to the countries of Africa shall not be reduced to trade, economy or Egypt's need to Nile water. It is time to revive the soft power of Egypt represented in education, scientific research, media, culture and joint work with civil community organizations to demonstrate the real image of Egypt and Africans and their civilizations. Problem of the study lies in focus of President Abdulfattah Al Sisi on Africa and its development, and the strategic depth of the content in Egypt since he came to power, particularly after tension of relations between Egypt and Africa in 1980s and 1990s and the fact that they were limited to regional and internal official meetings, and after Ethiopia established the Renaissance Dam following January 2011 Revolution. President Sisi endeavored since he came to power to focus on Africa and Development of African countries. The president assures in all his interviews the importance of linking communication between Egypt and Africa, and stresses on the importance of Africa for Egypt and importance of Egypt for Africa. The study depended on the theories of media frameworks to scientifically authenticate the thesis and decision-making theory in international relations because it is one of the theories that interpret the foreign policy of the state as a theory in international relations. In addition, it is used for the decisions made by audience as a result of watching satellite channels. The study used survey of the context of public and private Egyptian satellite channels which address the issue of Egyptian-African relations and the field survey of various community categories to identify the role of public and private Egyptian satellites in forming the approaches of the case.

Nigerian Agriculture Promotion Policy 2016 – 2020: Towards a New Paradigm for Domestic Food Security and Foreign Exchange Earnings in Agricultural Production

Agriculture is key to overall economic growth and development of African countries like Nigeria. A suitable policy that charts a clear roadmap to large scale and commercial agricultural production is necessary to achieving food sufficiency and exports. This paper reviews the Nigerian Agriculture Promotion Policy 2016 – 2020 (APP) in order to determine how it addresses the challenges that have stifled the growth of agriculture in Nigeria, and the attendant negative impacts on the socio-economic development of the country. The adopted methodology is a desk review and content analysis of the Policy Document, together with other literature on Nigeria’s experience in agriculture policy administration. This paper finds that the APP clearly provides a new paradigm in approach and processes towards attaining food security and foreign exchange earnings in Nigeria’s agricultural production in the short, medium and long terms. This paper however recommends that in order for the APP to endure for stable and consistent implementation of its long term solutions to Nigeria’s agricultural challenges, it should be presented to the National Assembly for enactment as a piece of legislation. This is necessary to sustain the current successes and realize the future potentials of Nigeria’s agricultural production as suitably laid out in the APP. Keywords: Agriculture policy, agricultural production, economic development, food security, foreign exchange earnings DOI : 10.7176/PPAR/9-3-07 Publication date :March 31 st 2019

The Role of Philosophy in Twenty-First Century Africa: A Critique of Bodunrin

Philosophy in general and African Philosophy in particular is rocked by the crisis of relevance and is being called upon to justify the huge investment in it by governments. This paper attempts to examine the contributions that philosophy and philosophers can make to the development of African countries. The paper is a counter-discourse to the discourse of scholars like P. O. Bodunrin who thinks that philosophy cannot help in dealing with our present social, moral, religious and economic problems. The paper argues that the professionalization of philosophy which has led to it being treated as a theoretical inquiry does not preclude the capacity of philosophers to reason about the practical problem in the society with a view to providing solutions. It articulates some of the ways by which African philosophers can contribute to social development in Africa such as the development of an ideology, the critique of African values and colonial legacies and the readiness to participate in practical matters so as to translate ideas and theories to social reality. The paper suggests that if philosophers are to be able to be involved in practical matters, there is a need for multi-disciplinary training for them. It concludes by suggesting a philosophy of praxis for Africa. Keyword: Development, Philosophy, Praxis, Professionalization, Relevance DOI : 10.7176/DCS/9-3-09 Publication date :March 31 st 2019

Identifying an analytical tool to assess the readiness of aid information and communication technology projects

AbstractIt has been established that information and communication technologies (ICTs) empower the informal sector. However, according to a study, a number of barriers such as affordability, availability, and access lead to the informal sector being a low‐tech environment. Thus, aid agencies and African governments have made notable efforts to promote the spread and use of ICT in Africa in order to support sustainable development in African countries. These initiatives are managed on a project basis. Unfortunately, the success rate of development aid projects is relatively low. Several explanations have been given for these failures. We performed a conceptual analysis where we identify the important drivers that should be considered when assessing the likelihood of success of these projects, namely, project readiness, before such projects are implemented. The analytical framework that is proposed will contribute to the success of ICT projects.

Policy to Prevent and Combat Cyber-crime in Africa

The global nature of the Internet has enabled extremely fast communication and transfer of most forms of human activity to the network, including those negatively received. Cyberspace is increasingly being spoken of as a new social space in which the same problems are reflected in the real world. Cybercrime is therefore a modern form of crime, exploiting the possibilities of digital techniques and the environment of computer networks. The research subject of this article is the policy of combating and preventing the phenomenon of cybercrime, while the research subject is Africa. At the beginning, the following research hypotheses were adopted: the slow pace of economic development of African countries is conditioned by the lack of appropriate legal regulations in the field of policy against cybercrime. This favors the development of economic cybercrime, which in turn testifies to the lack of measurement and control tools to limit and counter the very phenomenon of cybercrime in this area. Secondly, more importantly, the slow pace of ratification of international agreements also indicates that it will probably take longer than originally assumed that appropriate instruments of public international law could be legally binding within the African Union. Thirdly, the assumption was made that Africa is a potential for future economic development. In turn, the increase in the absorption and use of the Internet will contribute to its economic growth over time, which will continue to lead to the growth of cybercrime. The author, within the framework of this, publication, tries to show institutional and legal deficiencies on selected examples and indicate scenarios for preventing this phenomenon.

Sustainable Development in African Countries: An Indicator-Based Approach and Recommendations for the Future

This study addresses problems related to the level of sustainable development in African countries in the years 2002–2016. The introduction presents the current situation in Africa, the occurring transformations as well as the goals and definitions of sustainable development. The significance of social order in the aforementioned development has also been highlighted. The next part of the article features sustainability indicators, selected for the analysis and covering all the essential aspects, i.e., social, economic, environmental, spatial, institutional and political areas. The applied research method was the synthetic measure of development (SMD), whereas the data for calculations and analyses were retrieved from the sources of the World Bank. The key part of the study presents the research results showing the position of individual countries regarding the level of implementation of the sustainable development concept in the period 2002–2016. As part of the added value the selected problems of Africa and ways of solving them, along with the recommendations for the future, were listed and characterised. It was concluded that the situation of the African countries, in terms of their sustainable development level, improved significantly in the period under analysis. The crucial problem is that the discussed countries are still experiencing a relatively unfavourable situation in this respect. Cape Verde and Ghana are among the countries recording the best results. The least favourable situation was observed in the Democratic Republic of the Congo, Liberia, Chad, Central African Republic and Eritrea.

The Impact of Moroccan Banks on Economic Growth in African Countries: Analyzing the Synchronization between the Financial and Business Cycles in WAEMU

The strategic choice of Moroccan banks to conquer the African market has accelerated since the mid-2000s. According to the Banking Commission of the West African Economic and Monetary Union (WAEMU), Moroccan banks concentrate 29.6% of the market share in the WAEMU region in 2015, and more than 30% of the share of global net income in the region. The article is devoted to the research of the role of Moroccan banks in the economic development in African countries. Can Moroccan banks affect real economic activity and act as catalysts for financial and economic development in African countries? To answer this question, we examine the co-movements between loans granted by Moroccan banks in African countries and real activity in those countries. Therefore, we use the synchronization index proposed by Hading and Pagan (2002). The cycles were obtained with a Hodrick-Prescott (HP) filter. The concordance index values, cross-correlation values were used to identify the characteristics of the relationships between the cyclical components. The study covers the period 2006-2015 and focuses on three Moroccan banking groups (Attijariwafabank, BMCE Bank of Africa and Banque Centrale Populaire BCP) set up in seven countries: Benin, Burkina Faso, Cote d'Ivoire, Mali, Senegal, Togo and Niger. The empirical results revealed that the financial (credits granted by Moroccan banks) and business (real activity) cycles are highly synchronized in WAEMU. The study concluded that the bank credits have a positive impact on real activity in WAEMU countries within the period examined.

Multi-sectoral action in non-communicable disease prevention policy development in five African countries

BackgroundThe rise of non-communicable diseases (NCDs) in Africa requires a multi-sectoral action (MSA) in their prevention and control. This study aimed to generate evidence on the extent of MSA application in NCD prevention policy development in five sub-Saharan African countries (Kenya, South Africa, Cameroon, Nigeria and Malawi) focusing on policies around the major NCD risk factors.MethodsThe broader study applied a multiple case study design to capture rich descriptions of policy contents, processes and actors as well as contextual factors related to the policies around the major NCD risk factors at single- and multi-country levels. Data were collected through document reviews and key informant interviews with decision-makers and implementers in various sectors. Further consultations were conducted with NCD experts on MSA application in NCD prevention policies in the region. For this paper, we report on how MSA was applied in the policy process.ResultsThe findings revealed some degree of application of MSA in NCD prevention policy development in these countries. However, the level of sector engagement varies across different NCD policies, from passive participation to active engagement, and by country. There was higher engagement of sectors in developing tobacco policies across the countries, followed by alcohol policies. Multi-sectoral action for tobacco and to some extent, alcohol, was enabled through established structures at national levels including inter-ministerial and parliamentary committees. More often coordination was enabled through expert or technical working groups driven by the health sectors. The main barriers to multi-sectoral action included lack of awareness by various sectors about their potential contribution, weak political will, coordination complexity and inadequate resources.ConclusionMSA is possible in NCD prevention policy development in African countries. However, the findings illustrate various challenges in bringing sectors together to develop policies to address the increasing NCD burden in the region. Stronger coordination mechanisms with clear guidelines for sector engagement are required for effective MSA in NCD prevention. Such a mechanisms should include approaches for capacity building and resource generation to enable multi-sectoral action in NCD policy formulation, implementation and monitoring of outcomes.

An Analysis of Palliative Care Development in Africa: A Ranking Based on Region-Specific Macroindicators

ContextTo date, there is no study comparing palliative care (PC) development among African countries. ObjectivesTo analyze comparatively PC development in African countries based on region-specific indicators. MethodsData were obtained from the African PC Association Atlas of PC in Africa, and a comparative analysis was conducted. Nineteen indicators were developed and defined through qualitative interviews with African PC experts and a two-round modified Delphi consensus process with international experts on global PC indicators. Indicators were grouped by the World Health Organization public health strategy for PC dimensions. These indicators were then sent as a survey to key informants in 52 of 54 African countries. Through an expert weighting process and ratings from the modified Delphi, weights were assigned to each indicator. ResultsSurveys were received from 89% (48 of 54) of African countries. The top three countries in overall PC development were, in order, Uganda, South Africa, and Kenya. Variability existed by dimension. The top three countries in specialized services were Uganda, South Africa, and Nigeria; in policies, it was Botswana followed by parity among Ethiopia, Rwanda, and Swaziland; in medicines, it was Swaziland, South Africa, then Malawi; and in education, it was equivalent between Uganda and Kenya, then Ghana and Zambia. ConclusionUganda, South Africa, and Kenya are the highest performing countries and were the only ones with composite scores greater than 0.5 (50%). However, not one country universally supersedes all others across all four PC dimensions. The breakdown of rankings by dimension highlights where even high-performing African countries can focus their efforts to further PC development.

Governance and Development in Africa: A Panel Causal Investigation

This study examined the direction of causality and relationship between governance and development in a panel of 37 African countries during 1996 to 2016 period. The Panel cointegration supports the existence of long-run relationship between governance and development in African countries. The study found bidirectional causality between governance and development in the short-run and unidirectional causality from development to governance in the long-run for African countries. The policy implication from these findings suggests that for African countries to experience good governance in the long-run, there must be in place an improved human development indicator that affects positively the wellbeing and standard of living of the citizenries.

Factors Affecting Palliative Care Development in Africa: In-Country Experts' Perceptions in Seven Countries

ContextFactors contributing to and impeding palliative care (PC) development in Africa can provide insights into current strategies for advancing PC. ObjectivesTo identify key factors affecting PC development in African countries from in-country PC experts' perspectives. MethodsAbout 16 PC experts from seven African countries undertook semistructured interviews on PC development in their respective countries. An interpretive description approach was adopted, with data analyzed using constant comparison. ResultsEmerged themes included drivers, strengths, challenges, and aspirations for PC development in Africa. Drivers included advocates and pioneering organizations, HIV/AIDS, culture of caregiving, and the World Health Assembly PC resolution. Strengths included community health workers, the special role of nurses, diversity of services, and short training courses. Challenges included lack of PC education; lack of standardization in implementation; limited availability of and/or accessibility to morphine; poverty and disease burden; and lack of funding for PC. Aspirations included integration of PC, specialization in PC, nurse prescribing, and strong partnerships with Ministries of Health. Factors already highlighted in the literature were only briefly discussed. ConclusionThe key factors underpinning PC development in the seven countries contributed to the beginnings of PC in Africa, fueled by advocates who built on existing strengths to maximize opportunities. However, the current approach is at high risk in terms of its sustainability, and strategies for maximizing existing resources and growing infrastructure support are needed moving forward.

Globalization and Agricultural Growth in African Countries

In Africa, globalization has turned into a most important feature in the economic globe since the mid-1990s. The mainstream of the people in the African countries is depending directly and indirectly on agriculture. In Africa, agriculture would provide the necessary strengthening to provide outlay to enhance the foundation of industrialization and public services. This paper sought to analyze the globalization impact on agriculture growth in African countries. However, most countries lack markets competition with other professional foreign agricultural producers and the expansion of these products exportation was not taken place. Furthermore, some actors involved in the agricultural sector have seen little profit from the liberalization process and small farmers find it more difficult to obtain inputs and credit and, consequently, lower farm incomes. Secondary data sources were used to collect information from different sources such as journals, World Bank and government reports among others. The study shows that globalization can extremely improve agriculture activities as the most important engine of development in African countries. It also increases food security through non-farm activities, employment-intensive and non-tradable rural activities sectors.

Identifying Strategic Development Objectives for African Countries Using Dominance-Based Rough Set Approach: The Poverty String Theory

The objective of this article is to expose the results of a research using Dominance-based Rough Set Approach (DRSA) to help African countries and international organizations (both non-governmental organizations and governmental organizations), to identify economical, sociological, political and technological strategic objectives for international development. We hope that the results of this research will aid politicians and leaders to prioritize African countries strategic development objectives according to political, economical, sociological and technological (PEST) needs. In this study we use 23 various indicators to classify all the African countries according to the following three different categories: [A] African countries that are doing well according to the selected indicators; [B] African countries that need support to acquire category A status; [C] African countries ranked the lowest and needing special support with regard to the criterion or criteria considered. The three categories are delimited by tertiles obtained from the average ranking of countries. The chosen criteria are measured in order to provide decision rules based on this classification. These decision rules thus focus on the political, economic, sociological and technological needs of countries with respect to improve their development and classification. We strongly believe that by targeting these identified needs, this research will help the development of African countries, target and prioritize International funding, evaluate economic growth and sociological improvements. Our results, from both the correlation matrix and DRSA, clearly demonstrate that top priority should be given to analphabetism, school life and reducing the amount of adolescents pregnancies in order to improve both economically and sociologically. Also, our analysis of the African map belonging to the overall classification results, puts the light over the fact that most countries in category C are, geographically connected to one another, what we named the “Poverty String’’. This is the first research of a series of three articles using DRSA in identifying strategic objectives for international development. The second research will discuss the use of DRSA to identify strategic objectives for Bosnia Herzegovina as a potential candidate to the European Union. The third research will use DRSA to help define poverty for all the United Nations countries and propose decision rules for international development.

Strategic Fundamentals of Knowledge and Information Management for Social and Economic Growth in Sub-Saharan African Countries

This article critically analyzes the 10 fundamental pillars requisite for positive progression and creation of a knowledge society for socio-economic development in African countries. These pillars or basic rules, fundamental variables, and structures are identified based on the conceptualization of the key principles of knowledge management. The author asserts the transition to a knowledge society requires making investments and managing knowledge competently at the diverse micro-and-macro organizational levels within countries and even regions. However, doing so requires concurrent adherence to the rules and structures of knowledge management which form the fundamental pillars. The first part presents an empirical econometric analysis of knowledge-productivity nexus as an exposition of knowledge as a factor of production and national productivity. The second part presents a logical argumentation of the 10 fundamental pillars, supported by African regional and individual country data. This research then concludes by pointing out the 10 fundamental pillars in their extant state are inadequate and dysfunctional in most of the African countries and, therefore, socio-economic development efforts and resource allocation need to focus on nurturing and strengthening these pillars for the goal of transitioning to a high productivity and wealth creating knowledge society.