Poverty In Africa Research Articles

Conflicts, crop choice, and agricultural investments: Empirical evidence from Nigeria

Conflict remains a major driver of poverty in Africa. Conflicts and political instability in the region have been increasing recently and are drawing more attention in public discourse. While it is widely acknowledged that conflicts disrupt agricultural production and food systems, the full extent of the damage inflicted on the lives and livelihoods of farming households and the mechanisms to redress this harm remain poorly understood. In particular, the link between violent conflicts and households’ land allocation and related agricultural investment decisions remains understudied. In this study, we use geocoded longitudinal data along with detailed agricultural panel household surveys in Nigeria to assess the impact of violent conflicts on crop choice decisions and related agricultural investments. Specifically, we explore how farmers’ land allocation and agricultural investment decisions relate or respond to the outbreak and intensity of violent conflicts. We find that violent conflicts are associated with a reduction in the share of both land area cultivated and area harvested. We also find suggestive evidence that violent conflicts may shape farmers’ crop choices and related investments, as violent conflicts are associated with reduction in the share of land allocated to long-term crops (e.g., perennial crops, trees, roots and tubers). Overall, our findings suggest that violent conflicts can negatively influence farmers’ agricultural investments directly by affecting both land utilization patterns and portfolio allocation across activities with varying returns to investments.

Lived Poverty and the Fate of African Democracies

In comparative politics, economic development is a requisite to democracy (Lipset, 1959). Democracy is deemed to fail in less developed countries as poverty has proven to be detrimental to democratic performance. This study offers a perspective on the effects of poverty on the fate of democracy in Africa. Models are estimated for the Poverty-Democracy linkages using variables derived from merged Afrobarometer survey data (2002-2018). The results indicate that poverty in Africa has a mixed effect on democracy more generally. In particular, the analysis indicates that the experience of poverty, which we have termed ‘lived poverty’, has a negative effect on demand and supply of democracy as well as on a number of attributes of political participation. The fact that the poor demand democracy less than the well-to-do while at the same time perceiving limited supply of democracy, in our view explains why more African regimes are consolidating as hybrid regimes instead of moving towards democratic consolidation

Does capital flight set Africa as the seat of darkness? Linking capital flight and energy poverty

Despite the fact that capital flight is a scourge for African economies, no study, to the best of our knowledge, has analyzed its effects on energy poverty. This study aims to fill this gap in the literature by providing one of the first empirical studies of the effects of capital flight on energy poverty. The present study focuses on a panel of 30 countries in Africa over the period 2000–2018. We use Principal Component Analysis (PCA) to construct an energy poverty indicator. Results suggest that capital flight increases energy poverty in Africa. This result is robust when controlling for endogeneity. Additionally, good institutional quality helps mitigate the negative effects of capital flight on energy poverty. Further analysis allows us to identify income inequality, government spending and unemployment as the channels through which capital flight influences energy poverty. Policy wise, better control of capital flows based on appropriate institutional settings should reduce energy poverty in Africa.

Implications of crop yield distributions for multiperil crop insurance rating in Ghana: a lasso model application

PurposeThe objective of this paper is to examine crop yield predictions and their implications on MPCI in Ghana. Farmers in developing countries struggle with their ability to deal with agricultural risks. Providing aid for farmers and their households remains instrumental in combatting poverty in Africa. Several studies have shown that correctly understanding and implementing risk management strategies will help in the poverty alleviation agenda.Design/methodology/approachThis study examines the importance of crop yield distributions in Ghana and its implication on multiperil crop insurance (MPCI) rating using the Lasso regression model. A Bonferroni test was employed to test the independence of crop yields across the regions while the Kruskal-Wallis H test was conducted to examine statistical differences in mean yields of crops across the ten regions. The Bayesian information criteria and k-fold cross-validation methods are used to select an appropriate Lasso regression model for the prediction of crop yields. The study focuses on the variability of the threshold yields across regions based on the chosen model.FindingsIt is revealed that threshold yields differ significantly across the regions in the country. This implies that the payment of claims will not be evenly distributed across the regions, and hence regional disparities need to be considered when pricing MPCI products. In other words, policymakers may choose to assign respective weights across regions based on their threshold yields.Research limitations/implicationsThe primary limitation is the unavailability of regional climate data which could have helped in a better explanation of the variation across the regions.Originality/valueThis is the first study to examine the implications of regional crop yield variations on multiperil crop insurance rating in Ghana.

Bribing to Escape Poverty in Africa

ABSTRACT This study assesses the nexus between bribery and poverty using the Afrobarometer survey. Our data cover 38 countries consisting of three survey rounds and a sample of 151,345 individuals. The empirical strategy is based on multi-level mixed-effects ordered logit regression. The results reveal that while poverty has a positive effect on the spread of bribery, inflation can mitigate the impact. The impact is stronger for people living without basic necessities such as food, water, and medical care. In other words, the results indicate that the impact of poverty on bribery becomes negative when inflation increases. Policy implications are discussed.

Transition towards eradication of poverty in Africa

Transition towards eradication of poverty in Africa

Inelegant enforcement of anti-corruption laws and good governance: a persistent catalyst for coups d’état and poverty in Africa

Purpose The purpose of this paper is to scrutinise the intricate relationship between the inadequate enforcement of anti-corruption laws and the application of good governance and the persisting prevalence of coups d'état and poverty in Africa. Design/methodology/approach This paper uses a doctrinal legal research approach, synthesising existing literature while extensively analysing primary and secondary legal sources. Its primary aim is to scrutinise the intricate relationship between the inadequate enforcement of anti-corruption laws and the application of good governance and the persisting prevalence of coups d'état and poverty in Africa. The choice of case study countries Burkina Faso, Chad, Gabon, Guinea, Mali, Niger and Sudan stems from their historical significance, regional diversity, data accessibility and potential insights into the interplay among anti-corruption enforcement, governance, poverty and coups d'état in Africa. Findings The enforcement of anti-corruption laws and the promotion of good governance are indispensable for democracy and economic stability; their suboptimal enforcement directly contributes to coups d'état and the worsening of poverty in African nations. It emphasises the imperative for African countries to consistently and proficiently enforce anti-corruption laws and adhere to principles of good governance, effectively and responsibly, to mitigate coups d'état and alleviate poverty in the region. Originality/value This study designs a model strategy for combating coups d'état and corruption in Africa as contribution to knowledge in the field of study.

Gender, Security and Poverty in Africa: The Bane of Sustainable Development Goals in Nigeria

Nigeria is now experiencing complex existential challenges related to gender inequity, citizen security, and poverty. The establishment and maintenance of states are heavily influenced by gender dynamics, which are further compounded by the disruptive effects of economic and social inequalities. Non-state actors perpetuate discrimination and violence, specifically targeting women and girls, as a result of entrenched cultural norms that dictate stereotypical gender roles and relationships. The primary aim of the research is to examine the implementation of Sustainable Development Goals about gender, security, and poverty in Nigeria. The six geographical regions are descending into a state of ungovernability, as terror squads have completely taken control of rural and suburban communities. The paper's theoretical foundation is based on Robert Merton's Anomie Theory. The research used a methodical approach by using content analysis, specifically relying on secondary data. The study mostly gathered statistical data from reputable sources such as the National Bureau of Statistics, Nigerian Living Standard Survey, Multiple Indicator Cluster Survey, and SDGs Base line reports. The findings indicate that implementing policies such as the Micro-Credit Scheme and Conditional Cash Transfer as part of Social Investment did not effectively address the issues of poverty and security. The results of the study indicate that gender inequality, insecurity, and poverty are still widespread in all aspects of the Sustainable Development Goals (SDGs). Consequently, development is certain to be hindered. The article states that the expansion and implementation of universal social protection and social security schemes should not discriminate based on age, gender, disability, or education systems. The paper suggests In order to eradicate insecurity and poverty, it is imperative to develop more robust economies. This process starts by empowering women to transition from mere participation in the economy to attaining complete economic authority. Keywords: Bane, Gender, Security, SDGs and Poverty

What Would Happen to Poverty in Africa if Most Aid Were Delivered as Social Cash Transfers? A Case Study of Uganda

This article explores the potentially game-changing idea of repurposing a major part of overseas development assistance (ODA) to fund the up-scaling of social cash transfers (SCTs) in Africa. The analysis contributes to the debate about how best to use global development aid by considering the idea of simply bypassing the aid industry and instead giving most funds directly to the poor. With Uganda as a case study, we use the UGAMOD microsimulation model to analyse the socio-economic impact of using a major part of the current aid envelope, which for 2017–2020 was on average 2.37 billion USD, to provide two types of SCTs, namely old-age pensions and child grants. The scenarios analysed include both universal and means-tested SCTs at different cost levels, ranging between 4 and 115 per cent of current annual ODA in Uganda. We demonstrate that allocating a major part of ODA to SCTs would, seen in isolation, lead to very considerable reductions in poverty. In one tested scenario, where most ODA is allocated for universal child support, it is predicted that about two-thirds of current poverty would be eliminated. Importantly, however, large-scale SCTs would also come with significant socio-economic allocation costs, as aid is shifted away from its current uses, much of which goes to the social sectors. We discuss what this may imply for government revenue generation and the timing of any potential scaling of SCTs. Lastly, we note that scaling of SCTs would have political economy implications, which would need to be better understood.

Overview of the African palm weevil (Rhynchophorus phoenicis) as food and feed – A critical review

Overview of the African palm weevil (Rhynchophorus phoenicis) as food and feed – A critical review

Threshold Effect of Financial Inclusion on Poverty Reduction in Africa: Does institutional quality play a role?

ABSTRACT In Africa, poverty levels are still very high, especially with the advent of the COVID-19 pandemic, despite efforts by governments and development partners to address it. Financial inclusion has been identified as an important concept in fighting poverty due to its ability to increase the income level of households. This study sought to estimate the threshold level at which financial inclusion, aided by strong institutions, will lead to poverty reduction in Africa, using Hansen’s threshold estimation method, covering a period of 2004–2020. The Hansen threshold estimation method uses an endogenous approach to identify threshold values, which eliminates deterministic process by using a systematic approach, as compared to the linear methods of sample-splitting of threshold-level specifications by other methods. This therefore makes the Hansen threshold estimation method robust in threshold estimations compared to other methods. The study found double threshold values of 0.0534 and 0.341, indicating that a financial inclusion value below 0.0534 would increase household consumption expenditure, leading to poverty reduction. However, a threshold value between 0.0534 and 0.3141 has a negative impact on poverty reduction. Furthermore, beyond a threshold value of 0.3141, financial inclusion will improve household consumption and as such reduce poverty in Africa. The study also established a threshold value of institutional quality index of −1.6325, indicating that below that institutional quality index, financial inclusion will have a negative impact on household consumption as well as poverty reduction in Africa. The results further indicated that dependency ratio, gross national income, interest rate, inflation, education, and government expenditure contribute significantly to poverty reduction in Africa. It is recommended that development partners, central banks and governments in the region should consciously develop and implement financial literacy policies, with the collaboration of all financial institutions that are aimed at promoting financial inclusion due to its ability to end poverty.

Anthropological strategies for successful Christian missionary endeavors amidst poverty escalation in Africa

Poverty and hunger have become global crises, especially in Africa. African political leaders have continued mismanaging public resources while many have embezzled public funds. Some have misappropriated public funds and borrowed senselessly from the West, making it difficult for them to dissociate themselves from the dictates of Western powers. Another factor that has impoverished Africa is intertribal war, caused mainly by leadership negligence because of their political calculations. Other problems that have contributed to the escalating poverty level in Africa are political instability, economic downturn, and religious intolerance. Despite the poverty crisis in Africa, the church has remained proactive in alleviating poverty in Africa. The church has been missional in its approach, but with its missionaries’ efforts, it has had to become strategic in the contemporary time to record successes in its missions’ endeavour in Africa, especially in Nigeria. Therefore, this paper attempts to explain the anthropological strategies that mission agencies and missionaries employ to record success in the face of poverty escalation in Africa; this will be achieved by explaining the concept of poverty in Africa, historically examining missions’ success in Africa and identifying anthropological strategies employed by missionaries in Africa despite the escalating level of poverty in Africa. This study reveals strategies for mission success to ensure missionaries of different denominations are aware of previous achievements and to do more.

Innovations in Addressing Menstrual Poverty in Africa: The Menstrual Cup Intervention for Girls in Rural Ghana

Innovations in Addressing Menstrual Poverty in Africa: The Menstrual Cup Intervention for Girls in Rural Ghana

Economic Transition Opportunities for Nigeria in joining the African Continental Free Trade Area

This article explores the African Continental Free Trade Area (AfCFTA) and its implications for Nigeria. AfCFTA, established in 2018, aims to create a competitive single African market by eliminating tariffs and barriers, fostering economic growth, job creation, and industrialization. The nature of trade in Continental Africa has been more with the rest of other continents than within Africa. Then comes the question of what is standing on the way of inter and intra Africa trade. With trade we can unlock Africa growth and development and by so doing, we can improve per capita income in the continent and by so doing reduce poverty in Africa. The article discusses the objectives and challenges of AfCFTA, emphasizing the importance of infrastructure, regulatory harmonization, and trade facilitation. For Nigeria, Africa’s largest economy, joining AfCFTA offers expanded market access, job opportunities, and economic diversification. The government’s rationale for participation includes promoting industrialization, increasing export opportunities, and improving trade balance and foreign exchange reserves. The reality is that we all need each other to get the wheel of life going. Keywords: , Globalization, AfCFTA, Regional Trade, Trade balance

Economic Transition Opportunities for Nigeria in joining the African Continental Free Trade Area.

This article explores the African Continental Free Trade Area (AfCFTA) and its implications for Nigeria. AfCFTA, established in 2018, aims to create a competitive single African market by eliminating tariffs and barriers, fostering economic growth, job creation, and industrialization. The nature of trade in Continental Africa has been more with the rest of other continents than within Africa. Then comes the question of what is standing on the way of inter and intra Africa trade. With trade we can unlock Africa growth and development and by so doing, we can improve per capita income in the continent and by so doing reduce poverty in Africa. The article discusses the objectives and challenges of AfCFTA, emphasizing the importance of infrastructure, regulatory harmonization, and trade facilitation. For Nigeria, Africa's largest economy, joining AfCFTA offers expanded market access, job opportunities, and economic diversification. The government's rationale for participation includes promoting industrialization, increasing export opportunities, and improving trade balance and foreign exchange reserves. The reality is that we all need each other to get the wheel of life going. Keywords: Globalization, AfCFTA, Regional Trade, Trade balance

Contribution of the Common Market for Eastern and Southern Africa in Poverty Alleviation: A Case of Trade Liberalisation in Zambia

Background: This study was undertaken due to high levels of poverty in the Common Market for Eastern and Southern Africa (COMESA) Member States. The overall objective of the study was to explore the contribution of COMESA in the fight against poverty in Africa, a case study of Zambia from 2010-2021. The specific objective in this article was to explore the Contribution of the Common Market for Eastern and Southern Africa in Poverty Alleviation, a case of trade liberalisation in Zambia. The study employed qualitative approach with an exploratory research design and critical case sampling to choose 13 key respondents to explore the contribution of the Common Market for Eastern and Southern Africa in Poverty alleviation in Zambia from 2010-2021. Primary data was analysed from 13 key respondents selected purposively using an interview guide to support secondary data. Data was analysed using thematic and content analysis. This study found that COMESA was established by a treaty in December 1994 as a basis for trade liberalisation. The aim of trade liberalisation was to remove tariffs and non-tariff barriers to reduce the cost of doing business to create employment hence contributing to poverty alleviation. Zambia embarked on trade liberalisation and received financial support from COMESA and its international cooperating partners of development to achieve trade liberalisation. The study established that COMESA had been significant in the fight against poverty in Zambia. However, despite the trade reforms implemented, the study established that poverty levels in Zambia had not reduced since 2010 instead there had been an increase from 54.4 % in 2020 to 60.3 % in 2021. Zambia requires a clear regulatory framework predictable for business planning with a conducive legal business environment that promote trade through innovative policy framework targeting various sectors of the economy to generate income activities and employment. There must be regular review of the trade liberalisation rules to ensure coherence and compliance with COMESA rules in order to realise the gains of trade.

Contribution of the Common Market for Eastern and Southern Africa in the Fight Against Poverty in Zambia Through Private Development and Promotion of Foreign Direct Investment

Background: This study was undertaken due to high levels of poverty in the Common Market for Eastern and Southern Africa (COMESA) Member States. The overall objective of the study was to explore the contribution of COMESA in the fight against poverty in Africa, a case study of Zambia from 2010-2021. The specific objective in this article was to explore the Contribution of the Common Market for Eastern and Southern Africa in fight against poverty in Zambia through private development. The study employed qualitative approach with an exploratory research design and critical case sampling to choose 13 key respondents to explore the contribution of the Common Market for Eastern and Southern Africa in Zambia through private sector development from 2010-2021. Primary data was analysed from 13 key respondents selected purposively using an interview guide to support secondary data. Data was analysed using thematic and content analysis. This study found that COMESA was established by a treaty in December 1994 as a basis for private sector development and promotion of foreign direct investment in the region with a view to create employment and income generating activities contributing to poverty alleviation. Zambia embarked on private sector development and promotion of foreign direct investment with the financial support from COMESA and its international cooperating partners of development. The study established that COMESA had been significant in the fight against poverty in Zambia. However, despite the trade reforms implemented, the study established that poverty levels in Zambia had not reduced since 2010 instead there had been an increase from 54.4 % in 2020 to 60.3 % in 2021. Zambia requires a clear regulatory framework predictable for business planning with a conducive legal business environment that promote the private sector and foreign direct investment with an enabling business environment and innovative policy framework targeting various sectors of the economy.

Fintech, human development and energy poverty in sub-Saharan Africa

Studies have highlighted the important role of financial technology (fintech) in enhancing socio-economic conditions of nations. However, despite the efforts of governments to improve the latter, the rating of African countries still remains manifestly inadequate. Given that access to electricity is imperative for fintech, and fundamental to improving socioeconomic conditions, we provide novel evidence by investigating the degree to which the prevailing energy poverty in Africa mediates the relationship between the duo. Our baseline results confirm that fintech has a significant positive impact on socioeconomic conditions, proxied by human development, and the impact becomes increasingly significant in the face of constant energy supply. However, when we split our sample based on regions and income classification proposed by the World Bank, our results show that the impact of fintech on human development, in the absence of access to electricity, is notably limited to some African regions. Considering the current state of human development in Africa, our study advocates for more investment in energy infrastructure for the rapid realization of the gains of fintech.

Attracting Investment and Reducing Poverty in Africa Through AI Technologies

Attracting Investment and Reducing Poverty in Africa Through AI Technologies

The importance of human development in combating energy poverty

AbstractTheoretically, the impact of human development on energy poverty could occur through a number of channels, for instance, through improved social mobility and employability. In this study, we elaborate on these channels and examine how human development affects energy poverty in Africa, where access to electricity is a challenge for many. We proxy human development with scores on the human development index (HDI), human capital and education levels and analyse panel data on 40 African countries from 2000 to 2018. Employing a battery of estimation methods, the results suggest that an increase in human development generally improves energy poverty.