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Electricity Reliability and Intra-Sectoral Structural Change in Sub-Saharan Africa: Evidence from Medium-Sized Manufacturing Firms

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dc.contributor.authorKaba, Kabinet
dc.contributor.authorTchana Tchana, Fulbert
dc.date.accessioned2024-05-16T13:22:51Z
dc.date.available2024-05-16T13:22:51Z
dc.date.issued2024-05-16
dc.description.abstractAlthough access to reliable electricity enables manufacturing companies to increase their output, there have been few studies of the distribution of output growth between export and domestic markets. Although some papers have examined the impact of electricity reliability on exports (in volume terms or dummy terms), little is known about the way electricity reliability can push existing manufacturing firms more into the export market. Using the World Bank Enterprise Surveys, this paper examines a sample of 13,025 manufacturing firms surveyed in 39 Sub-Saharan African countries between 2006 and 2022. The paper employs the entropy balancing approach to examine how access to reliable electricity affects the distribution of manufacturing firms' sales between export and domestic markets. The results show that for medium-sized manufacturing firms, electricity access increases the share of exports in total sales at the expense of the share of domestic sales. However, the results for small and large manufacturing companies are not statistically significant. Among medium-sized manufacturing enterprises, domestic companies improve their exports relative to domestic sales when they have access to electricity, with mixed results for foreign companies. Even in resource-intensive countries, electricity access enhances the share of exports relative to domestic sales. The intra-sectoral structural change induced by power access is not limited to medium-sized companies in the manufacturing sector; the same pattern is observed in the service sector with mixed findings.en
dc.identifierhttp://documents.worldbank.org/curated/en/099448205152458890/IDU199436e3a1001f143af18c561a24b3e98279a
dc.identifier.doi10.1596/1813-9450-10770
dc.identifier.urihttps://hdl.handle.net/10986/41550
dc.languageEnglish
dc.language.isoen_US
dc.publisherWashington, DC: World Bank
dc.relation.ispartofseriesPolicy Research Working Paper; 10770
dc.rightsCC BY 3.0 IGO
dc.rights.holderWorld Bank
dc.rights.urihttps://creativecommons.org/licenses/by/3.0/igo/
dc.subjectMANUFACTURING FIRMS
dc.subjectELECTRICITY ACCESS
dc.subjectCOMPETITIVITY
dc.subjectEXPORTS
dc.subjectSTRUCTURAL CHANGE
dc.subjectSUB-SAHARAN AFRICA
dc.subjectAFFORDABLE AND CLEAN ENERGY
dc.subjectSDG 7
dc.subjectINDUSTRY, INNOVATION AND INFRASTRUCTURE
dc.subjectSDG 9
dc.titleElectricity Reliability and Intra-Sectoral Structural Change in Sub-Saharan Africaen
dc.title.subtitleEvidence from Medium-Sized Manufacturing Firmsen
dc.typeWorking Paper
dspace.entity.typePublication
okr.crossref.titleElectricity Reliability and Intra-Sectoral Structural Change in Sub-Saharan Africa: Evidence from Medium-Sized Manufacturing Firms
okr.date.disclosure2024-05-16
okr.date.lastmodified2024-05-15T00:00:00Zen
okr.doctypePolicy Research Working Paper
okr.doctypePublications & Research
okr.docurlhttp://documents.worldbank.org/curated/en/099448205152458890/IDU199436e3a1001f143af18c561a24b3e98279a
okr.guid099448205152458890
okr.identifier.docmidIDU-99436e3a-001f-43af-8c56-a24b3e98279a
okr.identifier.doi10.1596/1813-9450-10770
okr.identifier.doihttps://doi.org/10.1596/1813-9450-10770
okr.identifier.externaldocumentum34318668
okr.identifier.internaldocumentum34318668
okr.identifier.reportWPS10770
okr.import.id4164
okr.importedtrueen
okr.language.supporteden
okr.pdfurlhttp://documents.worldbank.org/curated/en/099448205152458890/pdf/IDU199436e3a1001f143af18c561a24b3e98279a.pdfen
okr.region.geographicalAfrica
okr.topicEnergy::Electric Power
okr.topicIndustry::General Manufacturing
okr.topicInternational Economics and Trade::Access to Markets
okr.topicInternational Economics and Trade::International Trade and Trade Rules
okr.unitEFI-AFR1-MTI-MacroFiscal-2 (EAEM2)
relation.isSeriesOfPublication26e071dc-b0bf-409c-b982-df2970295c87
relation.isSeriesOfPublication.latestForDiscovery26e071dc-b0bf-409c-b982-df2970295c87
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