Analysing the sources of economic growth in Africa using growth a accounting and a panel VAR approach

Using growth accounting framework and panel data analysis, while accounting for dynamics and endogeneity issues in growth modelling, this paper analyses the sources of growth in selected COMESA member countries. The growth accounting suggests a moderate level of TFP and that the contribution of capital and labour has been more or less the same. The results from the econometrics study are also along the same line with capital accumulation, openness and education observed to be among the most important ingredient of growth. The econometric study has also shown the importance of some other variables like political and institutional stability, financial development, IMF assistance funds and spill over effects as potential factors that may affect growth.