Causal Links between Export, FDI and Output: Evidence from Sub-Saharan African Countries

The main objective of this paper is to examine whether FDI and exports have contributed positively to SSA’s economic growth. In the paper, an empirical assessment of the relationship between FDI, exports and economic growth in the five SSA countries is conducted against a backdrop of the economic and trade liberation of the last two decades in African countries. Importantly, in this examination of the short-run and long-run causality, we examine the multiplicity of the relationship between income, inward FDI and exports. This paper also addresses the policy issues surrounding the factors which have been responsible for attracting FDI