COVID-19, DIGITALIZATION, HEALTH EXPENDITURE AND LABOUR PRODUCTIVITY IN SUB-SAHARAN AFRICA: EVIDENCE FROM A PANEL DATA ANALYSIS (2006 – 2023)
This study examined the impact of COVID-19, using digitalization and health expenditure, in selected sub-Saharan African countries on the labour productivity in the region. A balanced panel comprising 14 selected countries over 18-year time period from 2006 to 2023 was selected. Using appropriate technique confirmed with the use Hausman test technique, the study found that digitalization had been contributing gradually to the labour productivity in the region. However, this improvement was completely eroded by COVID-19 pandemic. Though, there were improvement in the health expenditure towards improving labour productivity during and after the COVID 19 era, yet health expenditure has been weakening labour productivity in the region. The study further found that countries in the Central Africa needs more attention in the use of digitalization and health infrastructure in improving their labour productivity. Based on the findings of this study, it is recommended that Government should subsidize the cost of acquisition and installation of the digital technology to small scale firms in the countries of the SSA region. Also Health expenditures should be properly monitored to avoid wastages and leakages such that their intended goals would be achieved.
Keywords: africa, analysis, covid-19, data, digitalization, evidence, expenditure, health, labour, panel, productivity, sub-saharan