Globalization and Women's Employability in Sub-Saharan Africa

Abstract

The objective of this paper is to analyze the effects of globalization on female employment in Sub-Saharan Africa (SSA). The GMM estimator was used in the econometric approach based on panel data from 39 Sub-Saharan African countries covering the period from 1995-2018. For further analysis, the sample was divided into four subgroups of regions including Central, Eastern, Western and Southern regions of Sub-Saharan Africa. The estimation results revealed that globalization measured by the openness rate and FDI flows significantly affects women's employment. This effect is positive for the openness rate and negative for FDI. This can be explained by the high representation of women in the informal sector whose main activity is trade. The results also showed a significant effect of socio-economic variables, particularly Gross Domestic Product (GDP). Policymakers, in their efforts to stimulate economic growth, should put in place policies and programs that promote trade liberalization and women's empowerment.