Research Article

The roadblocks to progress: A comprehensive study on the relationship between regional institutional quality and firms’ innovation of sub-Saharan African nations

Published in: African Journal of Science, Technology, Innovation and Development
Volume 17 , issue 5 , 2025 , pages: 663–680

DOI: 10.1080/20421338.2025.2510832

Author(s): Abel Dula Wedajo University of Sanya, People’s Republic of China , Xiao Huilin University of International Business and Economics (UIBE), People’s Republic of China

Keywords: Bayesian analysis , innovation , multilevel model , regional institutional quality , sub-Saharan Africa

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Abstract

This study examines the impact of regional institutional quality (level two) on firm-level innovation (level one) in Sub-Saharan Africa (SSA), where cultural and institutional diversity challenges frameworks derived from homogeneous contexts. Analyzing 7,578 firms across Ethiopia, Kenya, Rwanda, Tanzania, Uganda, Zambia, and Zimbabwe (2011–2019 World Bank Enterprise Survey data), the paper highlights the need for multi-level analysis to capture regional variations.

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