ICTs and labour productivity growth in sub-Saharan Africa

Abstract. This article investigates the effect of various information and communication technologies (ICTs) on labour productivity growth, using a sample of 43 sub-Saharan African countries. The authors’ findings show significant increasing returns for labour productivity growth from fixed-telephone and mobile-cellular penetration, confirming the presence of network effects. Specifically, doubling the current proliferation rate of fixed and mobile-cellular telephones increases labour productivity growth by approximately 0.12–0.15 per cent, and 0.05 per cent, respectively. Furthermore, the results point to financial inclusion as one of the possible channels through which mobile-cellular subscriptions affect labour productivity growth in sub-Saharan Africa.