Foreign direct investment attractiveness in Sub-Saharan Africa: spatial analysis of shared corridors

This study investigates the spatial effects of shared road and rail corridors on the attractiveness of African economies. Using spatial econometric techniques, we analyse data from 40 sub-Saharan African countries over the period 2000–2021. The results reveal that the presence of a shared rail corridor in one country increases inward foreign direct investment (FDI) not only in that country but also in neighbouring countries. These findings support the promotion of regional transport infrastructure as a means to reduce freight transport costs. Additionally, the results highlight the need to strengthen governance and modernise public administrations to enhance the overall attractiveness of African economies.