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

Road Network Upgrading and Overland Trade Expansion in Sub-Saharan Africa
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Book Synopsis Road Network Upgrading and Overland Trade Expansion in Sub-Saharan Africa by : Piet Buys

Download or read book Road Network Upgrading and Overland Trade Expansion in Sub-Saharan Africa written by Piet Buys and published by . This book was released on 2010 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: 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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