ORIGINAL ARTICLE
Bridging the Digital Divide: Determinants of Information and Communication Technology (ICT) Diffusion in Sub-Saharan African (SSA) Economies
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development economics, Ethiopian Civil service university, Ethiopia
Submission date: 2025-09-23
Final revision date: 2025-10-27
Acceptance date: 2025-11-03
Online publication date: 2026-05-06
Publication date: 2026-05-06
Economic and Regional Studies 2026;19(1):58-85
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ABSTRACT
Subject and purpose of work: This study examines the structural, financial, and economic determinants of ICT diffusion in 37 Sub-Saharan African economies from 2012–2022. Using a composite ICT Diffusion Index developed through Principal Component Analysis and estimated via a two-step System GMM model, it addresses endogeneity and unobserved heterogeneity. Results reveal that GDP per capita, urbanization, and domestic credit are key drivers of ICT diffusion, highlighting the roles of economic prosperity, spatial concentration, and financial depth. Electricity access has a positive yet conditional effect, while investment quality matters more than quantity. Overall, ICT diffusion in SSA is dynamic, cumulative, and path-dependent. Materials and methods: two-step System GMM model Results: All the primary variables has a positive and significant effcet of ICT diffusion. Conclusions: Overall, ICT diffusion in SSA is dynamic, cumulative, and path-dependent.
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