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GTAP Resources: Resource Display

GTAP Resource #7443

"Do Regional Value Chains (RVCs) foster Economic Diversification in Africa?"
by Ouedraogo, Abdoul Karim Theophile


Abstract
Regional value chains (RVCs) are essential for achieving economic diversification. In the context of Africa countries specially through African Continental Free Trade Area (AfCFTA), Participation in the Regional Value Chains (RVCs) present a significant opportunity for enhancing economic diversification by integrating various sectors across national borders. This paper seeks to analyze the effect of regional value chains participation on diversification in Africa using the Generalized Method of Moments (GMM) method for 51 African countries over the period 1996-2018. Our findings indicate that regional value chains participation contribute to diversification in Africa. Moreover, the study identifies human capital, Research and Development (R&D), and income levels as key channels through which RVCs participation influence diversification in Africa. Based on these insights, African nations should prioritize the development and promotion of RVC participation by identifying and leveraging sectors with comparative advantages. Additionally, targeted investments in factors that enhance diversification—such as education, technological advancement, and infrastructure—are essential to maximize the benefits of regional value chains participation.


Resource Details (Export Citation) GTAP Keywords
Category: 2025 Conference Paper
Status: Not published
By/In: Presented during the 28th Annual Conference on Global Economic Analysis (Kigali, Rwanda)
Date: 2025
Version:
Created: Ouedraogo, A. (4/7/2025)
Updated: Ouedraogo, A. (6/30/2025)
Visits: 112
- Economic development
- Economic growth
- Infrastructure
- Technological change
- Supply chains
- Africa (Central)
- Africa (East)
- Africa (North)
- Africa (Southern)
- Africa (West)


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Do not publish the presentation


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Last Modified: 6/23/2025 2:25:40 PM