Unravelling the Effects of Industrialization on Inclusive Green Growth in Africa: Does Energy Efficiency Matter?

Abstract

This study explores the impact of industrialization on inclusive green growth, a concept emphasizing equitable economic opportunities and environmental sustainability, in 42 African countries from 2000 to 2020. While industrialization is known to enhance productivity, job creation, and social stability, its direct effect on inclusive green growth is found to be negative. However, the analysis reveals that energy efficiency significantly mitigates this negative impact, enhancing the positive contribution of industrialization to inclusive green growth. These findings provide critical insights for policymakers aiming to promote sustainable and equitable development in Africa.