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21. Climate shocks, labour market dynamics, and inequality in South Africa: Evidence from administrative tax data

Author:
Safa Awaworyi Churchill, Yohannes Kefale Mogess, and Yuvana Jaichand
Publication Date:
04-2026
Content Type:
Working Paper
Institution:
United Nations University
Abstract:
This paper examines the impact of temperature shocks on individual earnings and income inequality in South Africa. We leverage high-resolution satellite temperature data, merged with administrative tax records from the South African National Treasury and UNU-WIDER. Data from 2009 to 2022 shows that temperature shocks significantly reduce income, with a one-standard-deviation increase in average temperature associated with a 1 per cent decline in earnings and a 1.3 per cent decline in total income. However, we observe no statistically significant effects on income inequality. Temperature projections from the most recent climate models of the Coupled Model Intercomparison Project (CMIP6) are used to simulate the impact of global warming on income in the short, medium, and long term. By 2100, income is projected to decline by 5 per cent without mitigation and adaptation strategies, relative to a ‘best case’ scenario characterized by widespread adoption of renewable energy and climate change mitigation.
Topic:
Climate Change, Inequality, Labor Market, Income, Temperature, and Rainfall
Political Geography:
Africa and South Africa

22. Social protection in South Africa

Author:
Haroon Bhorat and Morné Oosthuizen
Publication Date:
02-2026
Content Type:
Working Paper
Institution:
United Nations University
Abstract:
South Africa has a relatively well-developed social protection system for a middle-income country. Despite its roots in the country’s racially discriminatory past, the system has been repurposed post-apartheid to address deep poverty and severe inequality. This paper explores key characteristics of the current social protection system, highlighting its large scale and reach. Given high unemployment, the scope of social insurance is relatively limited and the social protection system is largely geared toward s social assistance. Social assistance is well-targeted and has been found to have significant beneficial impacts on poverty and inequality, but also various other socioeconomic outcomes. A key gap in the formal social assistance system is the working-age population: able-bodied working-age adults are covered only by the COVID-19 social relief of distress grant, the introduction of which has reignited calls for the implementation of basic income support despite South Africa’s significantly constrained fiscal environment.
Topic:
Poverty, Fiscal Policy, Cash Transfers, Social Assistance, and Social Protection
Political Geography:
Africa and South Africa

23. Local and community-driven solutions for development in fragile states

Author:
Elton Skendaj, Peter Mandaville, and Ibrahima Bokoum
Publication Date:
02-2026
Content Type:
Special Report
Institution:
Atlantic Council
Abstract:
Development and democracy efforts are more sustainable and legitimate when communities set priorities and lead design and implementation, rather than relying on donor-driven, technocratic models. Community actors—including civil society groups and faith-based organizations—bring unique trust, contextual knowledge, and long-term presence that external actors cannot replicate. The paper calls for transferring decision-making authority to local actors, investing in mutual capacity-building, and prioritizing participatory, long-term partnerships over short project cycles.
Topic:
Development, Fragile States, Economic Growth, and Economic Inclusion
Political Geography:
Africa, East Asia, Caribbean, and Southeast Europe

24. Mining corridors as catalysts: Building on the Lobito model

Author:
Aubrey Hruby
Publication Date:
02-2026
Content Type:
Special Report
Institution:
Atlantic Council
Abstract:
In December 2025 the US and the DRC signed a strategic partnership agreement giving the US preferential access to Congolese mineral deposits. The next step should be to build the infrastructure necessary for African nations to derive sustainable wealth from their mineral assets, and for the US to reap the benefits of the strategic partnership agreement. The financing approach and public-private cooperation used to build the Lobito transportation corridor offers a playbook for the US and African governments and investors.
Topic:
Treaties and Agreements, Economy, Business, Strategic Partnerships, and Critical Minerals
Political Geography:
Africa, United States of America, and Democratic Republic of Congo

25. Leveraging Remittances for Economic Transformation inECCAS Countries

Author:
Salim Ahmed Vessah
Publication Date:
01-2026
Content Type:
Working Paper
Institution:
The Nkafu Policy Institute
Abstract:
Remittances are increasingly becoming a strategic yet underutilized lever for economictransformation in the Economic Community of Central African States (ECCAS). Across Sub-Saharan Africa, remittance inflows reached a record USD 54 billion in 2023. Within ECCAS, theDemocratic Republic of Congo (approximately USD 1.4 billion) and Cameroon (about USD 375million) were the main recipients, while other member states received comparatively modestamounts. Although these flows do not collectively reach USD 5 billion at the regional level, theyalready surpass foreign direct investment or official development assistance in specific countriesand play a stabilizing role in household welfare. However, their developmental potential remainslargely untapped due to limited financial inclusion, high transfer costs, and the absence ofeffective institutional mechanisms to channel remittances toward productive investment and economic structural transformation. At the same time, ECCAS economies continue to grapple with persistent challenges : low industrialproductivity, weak competitiveness, fragile regulatory systems, insufficient infrastructure, and poorgovernance quality. These weaknesses are compounded by high levels of financial exclusion,limited access to affordable credit, and rising unemployment especially among young people andvulnerable populations. Combined, these constraints hinder progress toward the SustainableDevelopment Goals (SDGs) and the aspirations of the African Union’s Agenda 2063 . In thiscontext, better mobilization and strategic use of remittances constitute a viable and largelyuntapped alternative to support economic transformation and resilience.
Topic:
Economic Transformation, Remittances, and Economic Community of Central African States (ECCAS)
Political Geography:
Africa

26. Improving access to electricity for greater energy justice inEconomic Community of Central African States (ECCAS)

Author:
Salim Ahmed Vessah
Publication Date:
01-2026
Content Type:
Working Paper
Institution:
The Nkafu Policy Institute
Abstract:
ECCAS’s growth is constrained by a deep electrification deficit that undermines energy justice,human development, and inclusive structural transformation. Despite its immense energypotential, the Economic Community of Central African States (ECCAS) remains one of the leastelectrified sub-regions in Africa. , access to electricity was estimated at just 56.7%, far below thesub-Saharan African average of 72%. This persistent energy deficit fuels domestic energyinsecurity, as millions of poor and vulnerable households still rely on traditional and polluting fuelsfor cooking and heating. The consequences are profound: weakened social services, health risks,reduced productivity, and slowed economic diversification. The impacts span multiple sectors. Inrural areas, health centers lack reliable power for vaccine refrigeration, emergency care, oressential equipment. Households using biomass-based fuels face heightened risks of respiratorydiseases, disproportionately affecting women and children. In education, limited lighting andinadequate digital infrastructure reduce study hours and widen the learning gap. More broadly, unreliable electricity remains a major constraint on industrialization, agro-processing, and private-sector development, weakening the region’s competitiveness and slowing progress toward the Sustainable Development Goals .
Topic:
Development, Industrialization, Energy, Sustainable Development, and Economic Community of Central African States (ECCAS)
Political Geography:
Africa

27. From International Fragmentation to Industrial Cohesion:The Missing Link in AfCFTA Implementation

Author:
Salim Ahmed Vessah, Stephane Atangana, and Larissa Ntoubia
Publication Date:
02-2026
Content Type:
Working Paper
Institution:
The Nkafu Policy Institute
Abstract:
As global geo-economic fragmentation accelerates, African economies face rising external shocksfrom supply chain reconfiguration, protectionism, and volatile capital flows. The AfricanContinental Free Trade Area (AfCFTA) offers a strategic pathway to build regional resilience,expand industrial capacity, and strengthen economic sovereignty. Yet, despite early trade growth,intra-African trade remains limited, constrained by persistent non-tariff barriers, regulatoryfragmentation, weak logistics infrastructure, and insufficient productive capacity. Without deeperdomestic and regional reforms, AfCFTA risks delivering trade diversion rather than sustainedindustrial transformation. This brief argues that Africa’s central challenge is not market accessalone, but the absence of industrial cohesion that enables firms to scale, integrate into regionalvalue chains, and compete globally. It proposes a reform agenda focused on accelerated NTBremoval, targeted industrial value-chain development, regulatory convergence, digital tradeintegration, and coordinated continental trade diplomacy. Translating AfCFTA from legal ambitioninto economic performance is essential for inclusive growth, resilience, and long-termcompetitiveness in a fragmenting global economy.
Topic:
Resilience, Fragmentation, Geoeconomics, African Continental Free Trade Area (AfCFTA), and Global Economy
Political Geography:
Africa

28. Chinese Loans to Sub-Saharan African countries: BalancingDevelopment and Dependency

Author:
Ahmed Salim Vessah
Publication Date:
01-2026
Content Type:
Working Paper
Institution:
The Nkafu Policy Institute
Abstract:
Over the past two decades, China has become sub-Saharan Africa’s (SSA) foremost tradingpartner and the region’s main bilateral creditor, profoundly reshaping its financial and geopoliticallandscape. Between 2000 and 2022, Chinese lenders extended over USD 170 billion in loans toAfrican countries , with major recipients (such as Angola, Ethiopia, Kenya, Nigeria, and Zambia)each receiving between USD 5 and 40 billion. Today, China accounts for around 20% of SSA’sbilateral external debt , underscoring its strategic importance in the continent’s developmenttrajectory. This Policy Brief argues that while Chinese loans are instrumental in addressing Africa’smassive infrastructure deficit, they concurrently heighten debt vulnerabilities and geopoliticaldependence. The attractiveness of Chinese financing is best understood in relation to Africa’spersistent structural needs. According to the African Development Bank (AfDB, 2024) , SSA facesan annual infrastructure financing gap of USD 100-150 billion, far exceeding the capacity ofdomestic revenues and traditional donors. Chinese loans therefore stand out due to their speed of approval focus on large-scale physical infrastructure, and limited policy conditionality’s comparedto Western lenders. For many African governments, this makes Chinese credit an appealing andpragmatic alternative for accelerating development.
Topic:
Debt, Development, Infrastructure, Trade, and Dependency
Political Geography:
Africa, China, and Asia

29. Glocalising Universal Health Coverage in Cameroon:Implications for good governance, equity and inclusiveness

Author:
Constantine Asahngwa
Publication Date:
01-2026
Content Type:
Working Paper
Institution:
The Nkafu Policy Institute
Abstract:
Despite recent health financing reforms, quality healthcare services remain largely inaccessible tomany Cameroonians with financial barriers being one of the primary reasons. The UniversalHealth Coverage (UHC) program was introduced as a way of enhancing equitable access toquality services, without heavy financial spending for patients. However, rolling out the program inCameroon has raised some conceptual ambiguity as there is no clear understanding of what UHCis all about, including its implementation. Drawing from desk review of policy documents andresearch papers, we argue that UHC has been glocalized in Cameroon and the process hasimplication for good governance, equity and inclusiveness, which are the core values in measuring and assessing its performance. We begin with a presentation of the conceptualization of UHCfrom a global perspective, followed by the glocalization of UHC in Cameroon, its implication forgood governance, access and inclusiveness, and some recommendations for action.
Topic:
Governance, Public Policy, Public Health, Health Insurance, Inclusion, and Equity
Political Geography:
Africa and Cameroon

30. Strengthening Democracy, Deepening Practice, and Shapingthe Future of Governance in Central Africa

Author:
Pippie Hugues
Publication Date:
01-2026
Content Type:
Working Paper
Institution:
The Nkafu Policy Institute
Abstract:
Democracy in Central Africa is at a critical juncture. While citizen demand for accountability hasgrown, political instability, fragile institutions, and shrinking civic space continue to underminedemocratic progress. Elections, though increasingly frequent, remain high-stakes events that caneither strengthen legitimacy or expose systemic weaknesses. Ensuring transparency, credibility,and institutional resilience is therefore essential. This policy brief argues that the region’s democratic future depends on translating continentalnorms into national practice, strengthening institutions, and cultivating a civically literate publiccapable of sustaining democratic culture. Without these foundations, reforms risk remainingsymbolic rather than transformative.
Topic:
Governance, Elections, Democracy, and Accountability
Political Geography:
Africa and Central Africa