Regression analysis finds that climate risk boosts green total factor productivity in African countries, suggesting enhanced infrastructure and digital growth.
Key Points
Climate risk significantly enhances green total factor productivity, especially in sub-Saharan Africa, and resource-dependent economies.
The regression analysis indicates a stimulatory effect of climate risks, promoting infrastructure development and digital transformation.
Vulnerabilities in water resources and infrastructure further amplify the relationship between climate risks and productivity.
These insights support the need for policy optimization to strengthen resilience in African agriculture amidst climate challenges.