The nexus of environmental sustainability and agro-economic performance of Sub-Saharan African countries

Abstract

The increasing concern of environmental degradation and climate change impacts of agricultural-based activities are becoming more pronounced in the Sub-Sahara region of Africa especially due to urgent drive to meeting food, healthy diet, and economic needs. In retrospect. This novel study explores the relationship between agroeconomic performance, the Real Gross Domestic Product (GDP), Total natural rent, urbanization and environmental degradation vis- a-vis (Carbon dioxide emissions) in a carbon function. The empirical analysis used a panel data for the period 1980–2014 for the selected countries in sub-Saharan Africa. The Kao test uncovers a cointegration between carbon dioxide emissions, Real Gross domestic product, Total natural rent, agriculture and urbanization. The panel Pooled Mean Autoregressive distributed lag model (PMG-ARDL) posits a positive and significant connection between the gross domestic product and CO2 emissions in the long run. Our examination asserts that agricultural value-added reduces emissions in sub-Saharan Africa while urbanization and natural resource rent both increases CO2 emissions in the long run. In addition, the causality analysis reveals a bidirectional link between agriculture value-added and CO2 emissions. Essentially, policymakers in African nations must pay close attention to the issues of rural-urban drift as this leads to more emissions.