Addressing africa’s triple challenges: to what extent do physical and institutional infrastructures matter?

Abstract

Physical and institutional infrastructure remains an integral part of any economic system and forms the basis for overcoming Africa’s triple challenges (poverty, inequality and unemployment). But many policy models design to tackle the challenges facing Africa today have not yet incorporated the effect of institutional/governance infrastructure in it. This lecture provides a thorough analysis of the triple challenges facing Africa and how physical and institutional infrastructure can provide a turnaround. The analysis highlights some important policy implications which suggest that an alternative or revamping of the physical and institutional structures is paramount to addressing the triple challenges facing the continent. This implies that, Africa does not need an alternative economic system to overcome its triple challenges but rather it needs alternative governance or institutional structures. In other words, institutions rule over all economic objectives. Therefore, economic theories and their applications may not be visible and implementable in Africa if the institutional and physical infrastructure constraints are still embedded in the system.