Regional Integration in Africa: Analysis of the Common Market's Impact on African GDP
Year: 2024
Type: article
Abstract: Since the independence movements of the 1960s, Africa has seen a continuous succession of integration efforts. These initiatives led to the formation of eight Regional Economic Communities (RECs), each advancing regional integration processes in line with the Abuja Treaty. However, at the most advanced stage, these RECs have not moved beyond the common market phase, despite attempts at policy harmonization and the creation of a monetary union. The aim of this study is to examine the impact of the common market (free movement of goods, services, and factors of production) on Africa's GDP. To this end, we developed an empirical model specific to the continent's GDP, based on a panel dataset covering all African countries. Our econometric results indicate that the African common market has not had a significant impact on Africa's GDP. In this context, we highlight a series of challenges facing the continent, emphasizing that addressing these issues is essential and crucial for strengthening integration and its impact on the continent's growth: deficiencies in physical integration (transport), untapped energy potential, lack of key industries, political inertia and lack of commitment from states, conflicts of interest among African countries, challenges to economic rationality, and more.
Author: EL HAJOUI, Yassine
Language: English
Field: Social Sciences
Domain: Social Sciences
Open Access status: diamond
OpenAlex ID: W6965320029
FWCI:
Cites:
Cited by:
Related to: