Factors Explaining the Weakness of Intra-Regional Trade Flows in the ECOWAS Region
Mamadou Saidou Ndao *
Cheikh Anta Diop University, Dakar, Senegal.
*Author to whom correspondence should be addressed.
Abstract
With a GDP of over 628 billion dollars and a population of over 350 million, ECOWAS (Benin, Burkina Faso, Côte d'Ivoire, Ghana, Guinea, Mali, Niger, Nigeria, Senegal and Togo) was set to be one of Africa's most powerful economic blocs. However, at ECOWAS level, intracommunity trade is still low, and its share of world trade is around 0.3%. Moreover, intracommunity trade, which is estimated at 10% of the region's total trade, is also low compared with other regional blocs. The main objective of this article is to identify the main factors explaining the evolution of trade within ECOWAS. The augmented gravity model is used to show that economic and structural factors have a significant impact on intra-regional trade. Geographic, demographic and institutional factors play a key role in the evolution of intraregional trade.
Keywords: Trade flows, intra regional, gravity model, ECOWAS
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References
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