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The Impacts of Telecommunications Infrastructure and Institutional Quality on Trade Efficiency in Africa

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  • Felix Olu Bankole
  • Kweku-Muata Osei-Bryson
  • Irwin Brown

Abstract

One of the dominant issues for Information Systems (IS) researchers in developing countries is to determine the impact of Information Communication Technology (ICT) infrastructure expansion on socio-economic development. Generating sustained socio-economic development in Africa depends largely on the ability of nations to make profitable investments and accumulate capital, which could be achieved through efficient ICT-enabled trade flows. Trade supports employment creation and improves national income levels, revenue generation, consumer price reductions and government spending. It is a key driver of African poverty alleviation, growth, economic maturity and human development. Previous research, in particular Bankole et al. [(2013a). The impact of information and communications technology infrastructure and complementary factors on intra-African trade. Information Technology for Development ] identified the significant and positive effect of telecommunication infrastructure and institutional quality (IQ) on intra-African trade flows. As part of the ongoing research discourse on ICT for Development, the current article explores the impacts of telecommunications infrastructure and IQ on trade efficiency in Africa, using archival data from 28 African countries. We employed partial least squares analysis, data envelopment analysis and regression splines to analyze data. Our results suggest that IQ coupled with telecommunication infrastructure enhance efficiencies in intra-African trade flows.

Suggested Citation

  • Felix Olu Bankole & Kweku-Muata Osei-Bryson & Irwin Brown, 2015. "The Impacts of Telecommunications Infrastructure and Institutional Quality on Trade Efficiency in Africa," Information Technology for Development, Taylor & Francis Journals, vol. 21(1), pages 29-43, January.
  • Handle: RePEc:taf:titdxx:v:21:y:2015:i:1:p:29-43
    DOI: 10.1080/02681102.2013.874324
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    References listed on IDEAS

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    1. Robert J. Barro, 1998. "Determinants of Economic Growth: A Cross-Country Empirical Study," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262522543, April.
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    1. Bessan Ayédoun, Eudoxie & Ayédoun, Christian, 2020. "Développement des Infrastructures de Télécommunication et Croissance Economique dans les Pays de l’UEMOA: une Analyse de la Causalité sur Données de Panel à partir d’un VECM [Telecommunication Infr," MPRA Paper 104459, University Library of Munich, Germany, revised 01 Feb 2021.
    2. Yeo, Benjamin & Grant, Delvin, 2018. "Predicting service industry performance using decision tree analysis," International Journal of Information Management, Elsevier, vol. 38(1), pages 288-300.
    3. Lukman OYELAMI & Amara ZONGO, 2022. "Modeling the Impact of Non-Tariff Barriers in Services on Intra-African Trade: Global Trade Analysis Project Model," Bordeaux Economics Working Papers 2022-08, Bordeaux School of Economics (BSE).
    4. Chao Bi & Minna Jia & Jingjing Zeng, 2019. "Nonlinear Effect of Public Infrastructure on Energy Intensity in China: A Panel Smooth Transition Regression Approach," Sustainability, MDPI, vol. 11(3), pages 1-21, January.
    5. Grant, Delvin & Yeo, Benjamin, 2018. "A global perspective on tech investment, financing, and ICT on manufacturing and service industry performance," International Journal of Information Management, Elsevier, vol. 43(C), pages 130-145.
    6. Kadijat Adeleke, Oluwayemisi & Abamba Osakede, Uche & Monisola Ajeigbe, Omowunmi, 2021. "Trade Liberalization And Infrastructure Development: Evidence From The Economic Community Of West African States," Ilorin Journal of Economic Policy, Department of Economics, University of Ilorin, vol. 8(3), pages 1-20, June.

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