Road Network Upgrading and Overland Trade Expansion in Sub-Saharan Africa

Recent research suggests that poor economic integration and isolation from regional and international markets have contributed significantly to poverty in Sub-Saharan Africa. Poor transport infrastructure and border restrictions are major deterrents to trade expansion which would stimulate economic growth and poverty reduction. Using spatial network analysis techniques and gravity trade model estimations, this paper quantifies the economics of upgrading a primary road network that connects the major urban areas in the region. The results indicate that continental network upgrading is worth serious consideration from an economic perspective. Our simulations suggest that overland trade among Sub-Saharan African countries might expand by about $250 billion over 15 years, with major direct and indirect benefits for the rural poor. Financing the programme would require about $20 billion for initial upgrading and $1 billion annually for maintenance.

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Bibliographic Details
Main Authors: Buys, Piet, Deichmann, Uwe, Wheeler, David
Format: Journal Article biblioteca
Language:EN
Published: 2010
Subjects:National Government Expenditures and Related Policies: Infrastructures, Other Public Investment and Capital Stock H540, Measurement and Analysis of Poverty I320, Economic Development: Human Resources, Human Development, Income Distribution, Migration O150, Economic Development: Regional, Urban, and Rural Analyses, Transportation O180, Measurement of Economic Growth, Aggregate Productivity, Cross-Country Output Convergence O470, Transportation Systems: Government and Private Investment Analysis, Road Maintenance, Transportation Planning R420,
Online Access:http://hdl.handle.net/10986/5479
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