Exploring the dynamic nexus between urbanization and industrialization with carbon emissions in sub-Saharan Africa: evidence from panel PMG-ARDL estimation

Urbanization and economic growth in sub-Saharan Africa have undergone dramatic changes in recent decades with countries in sub-Saharan Africa seeking to industrialize their economies to boost economic growth. This study, with panel data from 37 sub-Saharan countries between the time period of 1995 and 2017, employs panel cointegration tests and pooled mean group ARDL (PMG-ARDL) techniques and the Dumitrescu-Hurlin causality test to empirically examine the impact of urbanization, economic growth, energy consumption, and industrialization on carbon emissions. Results from the PMG estimator confirm no significant impact of urbanization on carbon emissions in both the long run and short run. One percent surge in energy consumption was found to have significantly caused 1.03% and 0.15% rise in carbon emissions in both long run and short run respectively, thereby reducing the environmental quality. Further findings revealed a significantly negative relationship between economic growth and carbon emissions as well as industrialization and carbon emissions. Additionally, our causality test shows a unidirectional relationship running from energy consumption to carbon emissions. Policymakers are advised to develop rural areas and plan urban centers, pay attention to sustainable energy sources and waste recycling, and educate the populace to improve environmental quality.