HEALTH EXPENDITURE AND INFANT MORTALITY RATE IN SUB SAHARAN AFRICAN COUNTRIES: A PANEL ANALYSIS
Abstract
This study examined the effect of health expenditure on the infant mortality rate in Sub-Saharan
African countries. In order to explore the short-run and long-run effects of various health
expenditure components on infant mortality, panel data covering the period from 1990 to 2023
were employed. The data were sourced from the World Development Indicators (WDI) of the World Bank. The study adopted the Panel Autoregressive Distributed Lag (PanelARDL) model,
and estimation was conducted using Stata software. Preliminary unit root tests were conducted
to determine the stationarity properties of the variables and revealed that some variables were
stationary at level, while others were integrated of order one Il) at the 5% level of significance. In addition, tests for cross-sectional dependence were carried out to account for the
interlinkages among countries in the panel. The ARDL bounds test confirmed the existence of
a long-run equilibrium relationship between the health expenditure variables and infant
mortality rate. The results revealed that recurrent, capital, public, and private health
expenditures had positive but statistically insignificant effects on the infant mortality rate in both
the short run and the long run. However, basic sanitation had a positive and statistically
significant effect on the infant mortality rate across both timeframes. Urban population was found
to have a negative and marginally significant impact in the short run. The error correction
term was negative and statistically significant, indicating a strong speed of adjustment towards
the long-run equilibrium. Thus, the study concludes that although health spending has
potential, its impact on the infant mortality rate in Sub-Saharan Africa is limited by inefficiencies
and structural challenges. The study therefore recommends that governments in the region
should improve the efficiency of health financing, increase investment in sanitation
infrastructure, and address urban health system challenges to achieve lower infant death rates
and sustainable improvements in population health.
Keywords
Health Expenditure
Infant Mortality Rate
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How to Cite
Abubakar, Y. S., & Aisha, L. (2025). HEALTH EXPENDITURE AND INFANT MORTALITY RATE IN SUB SAHARAN AFRICAN COUNTRIES: A PANEL ANALYSIS. Kaduna Business and Management Reviews, 6(2), 98-111. https://doi.org/10.68022/kbmr.2025.d7cg12ic
Y. S. Abubakar, and L. Aisha, "HEALTH EXPENDITURE AND INFANT MORTALITY RATE IN SUB SAHARAN AFRICAN COUNTRIES: A PANEL ANALYSIS," Kaduna Business and Management Reviews, vol. 6, no. 2, pp. 98-111, December 2025. doi: 10.68022/kbmr.2025.d7cg12ic