Unveiling the Economic Determinants of Child Labour in Africa: A Comprehensive Study of 37 Countries

Abstract

This study investigates the impact of unemployment, household income and expenditure, globalisation, and foreign direct investment (FDI) on child labour across 37 African countries from 2010 to 2021, employing panel and multiple linear regression models. The findings reveal diverse impacts: rising unemployment significantly increased child labour in countries like Ethiopia and Niger, while in Cameroon and Kenya, it had a negative effect. Globalisation’s influence varied, strongly reducing child labour in Ghana but exacerbating it in Burundi. Household income and expenditure generally reduced child labour, particularly in Ethiopia and Zambia. The effect of FDI was also mixed, decreasing child labour in Madagascar but increasing it in countries with weaker governance. These insights underscore the necessity for tailored, country-specific policies that consider local economic conditions and governance quality. Future efforts to combat child labour must focus on developing sustainable solutions that address these complex dynamics.