Infrastructure Investment and Economic Growth Nexus
Authors
Prof. Nkosi Banda, Dr. Zainab Ibrahim
Abstract
Empirical analysis of the relationship between infrastructure investment and economic growth in African economies, examining transport, energy, and digital infrastructure contributions to productivity.
Overview
Using panel data from 45 African countries over two decades, this working paper estimates the growth elasticity of infrastructure investment and identifies optimal allocation strategies across sectors.
Key Findings
- 1
Infrastructure investment gap estimated at $95 billion annually
- 2
Energy infrastructure shows highest growth multiplier effect
- 3
Transport connectivity reduces trade costs by 18-22%
- 4
Digital infrastructure investment yields 2.8x GDP returns
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