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Mining and petroleum boom and public spending policies in Niger: a dynamic computable general equilibrium analysis

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  • Alkassoum Sangare, Saadatou
  • Maisonnave, Helene

Abstract

This study analyzes a public-spending option from mining and oil resources and its impact on Niger’s economy. The windfall gain from mining and oil revenues provides an opportunity for the country to reinvest natural recourse rents, enhance economic development, and address infrastructure gaps. Drawing on the country’s recent and expected mining and oil exploitation, we evaluate the effects of a reinvestment policy in road infrastructure using a dynamic computable general equilibrium (CGE) model. We find that investment in road infrastructure brings positive spillover effects to other sectors of the economy and benefits to the economy in the long run. Our analysis additionally shows that reinvestment in road infrastructure, given the initial state of infrastructure in Niger, could help mitigate resource curse.

Suggested Citation

  • Alkassoum Sangare, Saadatou & Maisonnave, Helene, 2018. "Mining and petroleum boom and public spending policies in Niger: a dynamic computable general equilibrium analysis," Conference papers 332982, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
  • Handle: RePEc:ags:pugtwp:332982
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    References listed on IDEAS

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    2. Júlio Vicente Cateia & Maurício Vaz Lobo Bittencourt & Terciane Sabadini Carvalho & Luc Savard, 2023. "Funding schemes for infrastructure investment and poverty alleviation in Africa: Evidence from Guinea‐Bissau," Journal of International Development, John Wiley & Sons, Ltd., vol. 35(6), pages 1505-1529, August.
    3. Mariam Diallo & Fleur Wouterse, 2023. "Agricultural development promises more growth and less poverty in Africa: Modelling the potential impact of implementing the Comprehensive Africa Agriculture Development Programme in six countries," Development Policy Review, Overseas Development Institute, vol. 41(3), May.
    4. Sebri, Maamar & Issoufou Ahmed, Ousseini & Dachraoui, Hajer, 2023. "Public spending and the resource curse in WAEMU countries: An asymmetry analysis using the hidden cointegration and non-linear panel ARDL framework," Resources Policy, Elsevier, vol. 82(C).

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