Carbon Accounting and Economic Development in Sub-Saharan Africa
Okere Wisdom *
Department of Accounting, Babcock University, Ilishan-Remo, Ogun State, Nigeria.
Nwaobia Apollos
Department of Accounting, Babcock University, Ilishan-Remo, Ogun State, Nigeria.
Olaoye Samuel
Department of Accounting, Babcock University, Ilishan-Remo, Ogun State, Nigeria.
*Author to whom correspondence should be addressed.
Abstract
This study examined the impact of carbon accounting on economic development in Sub-Saharan Africa (SSA). This study made use of secondary data, which was analysed using Panel General Method of Means (GMM) as well as other econometric tests. The research findings show that carbon accounting had a significant impact of economic development in Sub-Saharan Africa. In addition, it was revealed that with the introduction of environmental tax on emissions, carbon emissions (CO2) had a negative and significant impact of economic development in SSA. This study recommended that Governments should aid companies who are evidently reducing their carbon levels with environmental tax-free periods as long as they can maintain their reduction in emission levels. This would aid these companies to produce more, which would thereby lead to more economic development.
Keywords: Carbon accounting, economic development, carbon emissions, SSA, gross domestic product