RESOURCE CURSE AND EITI MEMBERSHIP EFFECT ON THE ECONOMIC GROWTH AND CORRUPTION IN SUB-SAHARAN AFRICA: PART II - AN EMPIRICAL ANALYSIS

Abstract

This study is the second and concluding part of the study that feature in volume 5(1) of this journal. It examines the impact of the Extractive Industries Transparency Initiative (EITI) membership on Economic Growth and corruption in Sub-Saharan Africa (SSA). A pooled cross-sectional panel study on 46 countries in SSA from 1996 to 2016 was employed. The results show that EITI membership and its statistical interaction with resource dependence have a moderately positive effect on reducing the resource curse on implementing countries by increasing GDP per capita. However, the results do not indicate any significant reduction in the level of corruption associated with governance in the region through EITI membership. The research concludes that the EITI has potential value and should continue to be used as a mechanism to increase transparency in the resource-curse economy. The implementation period for most member countries is, however, still in its infancy and it will be possible to assess the more success of the EITI membership with the passage of time.

Keywords

• extractive industries transparency initiative (eiti)
• corruption
• transparency
• resource curse
• economic growth