Catalyzing Circular and Sustainable Economy in African Countries
Abstract
Demographic and climate projections place resource management as a major concern for the African continent. Nevertheless, the capacity to meet this imminent challenge varies considerably across countries. The paper compares the circular and sustainable pathways of African countries and highlights the factors that facilitate or hinder the transition to a circular economy. To assess the circularity of African economies, the paper introduces two indices: the static Circular Economy Sustainable Development Index and its dynamic counterpart, which measures the average annual growth of the indicators. It employs regression analysis to explore the factors influencing sustainable development trajectories. The findings delineate divergent sustainable trajectories within Africa, highlighting the pivotal role of developmental level in catalyzing the transition towards a Circular Economy. Furthermore, resource rents emerge as a major obstacle to this transformation. Additionally, enhancements in institutional quality and infrastructure exacerbate resource pressures creating substantial barrier to the adoption of a Circular Economy principles.