Search

This study investigates the role of economic and political institutions as drivers of renewable energy production in Africa. To achieve this, the study employs panel data of 41 African countries from 2000 to 2017. To deal with endogeneity challenges associated with panel data, we use the two-step Systems Generalized Method of Moments (SGMM). Generally, we find evidence that robust economic institutions are relevant to increasing the level of renewable energy production in Africa. Second, the disaggregated measures of economic institutions show that both size of government and Freedom to trade internationally have a positive effect on renewable energy production. On the contrary, an increase in legal system and property rights reduces the level of renewable energy production. Third, the study finds that political institutions moderate the relationship between economic institutions and renewable energy production. Therefore, toward the goal of promoting SDG 12, governments in Africa should actively strengthen economic institutions to enhance responsible production of energy. However, such efforts will be much more fruitful if the level of political institutions is also strengthened. [ABSTRACT FROM AUTHOR]

This paper examines the role that trade liberalisation policies play in attracting FDI flows to African economies from 2000 to 2017. This study contributes to the extant literature on the relevance of trade liberalisation policies in developing economies and in particular, African Countries. By employing new measures for trade liberalisation policies, the study estimated a System Generalized Method of Moment model to examine the relationship between trade liberalisation policies and FDI inflows to Africa. The findings suggest that the institutionalisation of policies to enhance trade liberalisation would be germane in attracting higher levels of FDI flows to African economies. [ABSTRACT FROM AUTHOR]