Establishment of mobile money corridors and Burkina Faso's intra-WAEMU trade

Lamoussa Seydou Lankoande

Telecommunications Policy, 2025, vol. 49, issue 7

Abstract: Intra-African trade remains low, constituting an obstacle to the socio-economic development of the continent. This research looks at the potential influence of mobile money in West Africa on the region's internal trade, focusing specifically on the WAEMU. It thus examines the effect of the establishment of mobile money corridors between Burkina Faso and WAEMU countries on Burkina Faso's trade within the union. The research is based on the gravity model and on data relating to six partners of Burkina Faso in the WAEMU over the period 2000 to 2022. Results obtained using Hausman-Taylor (HT) and generalized least squares (GLS) methods argue that the establishment of mobile money corridors between WAEMU countries increases Burkina Faso's intra-WAEMU exports. The inclusion of political stability in the analyses and the use of the Poisson pseudo-maximum-likelihood (PPML) and propensity score matching (PSM) method corroborate the results. From a broad perspective, these results suggest that the development of mobile money corridors between African countries could play a key role in increasing intra-African trade.

Keywords: Mobile money corridors; Intra-WAEMU trade; Burkina Faso (search for similar items in EconPapers)
JEL-codes: F10 O33 O55 (search for similar items in EconPapers)
Date: 2025
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DOI: 10.1016/j.telpol.2025.103000

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