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The Potential of Information and Communication Technologies to Generate International Trade in Africa

Author

Listed:
  • Ibitoye J. Oyebanji

    (North-West University, South Africa)

  • Dayo B. Olanipekun

    (Ekiti State University, Nigeria)

  • Ewert P. J. Kleynhans

    (North-West University, South Africa)

Abstract

This article employs the dynamic panel two-step system generalised method of moments (GMM) approach to investigate the effects of information and communication technology (ICT) on trade and economic growth at a multisectoral level in 38 African countries from 1990 to 2019. The study reveals a significant and positive relationship between ICT and the export of agricultural raw materials and services. ICT shows a negative relationship with import in the agricultural sector, and a positive and significant relationship within the manufacturing sector. Additionally, there is no evidence of statistically significant relationships between ICT and service import. In relating ICT to growth, at the sectoral level, significant positive effects on growth were found with a varying magnitude in all sectors. The national ICT recommendation is that governments in African countries should increase investment in the ICT sector of the economy, which will have a remarkable effect on international trade and the economy.

Suggested Citation

  • Ibitoye J. Oyebanji & Dayo B. Olanipekun & Ewert P. J. Kleynhans, 2022. "The Potential of Information and Communication Technologies to Generate International Trade in Africa," Managing Global Transitions, University of Primorska, Faculty of Management Koper, vol. 20(3 (Fall)), pages 237-257.
    • Handle: RePEc:mgt:youmgt:v:20:y:2022:i:3:p:237-257
    DOI: 10.26493/1854-6935.20.237-257
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    References listed on IDEAS

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    Cited by:

    1. Sadik Aden DIRIR, 2023. "The potential of macroeconomic forces and ICT in affecting the sectorial growth: ARDL approach in the context of East Asian countries," Theoretical and Applied Economics, Asociatia Generala a Economistilor din Romania - AGER, vol. 0(1(634), S), pages 91-114, Spring.

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    More about this item

    Keywords

    information technology; international trade; agriculture; manufacturing; services; Africa;
    All these keywords.

    JEL classification:

    • A - General Economics and Teaching
    • E - Macroeconomics and Monetary Economics

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