The effectiveness of the African Growth Opportunity Act (AGOA) in fostering economic growth in least developing countries: The case of Zambia from 2005 to 2015.

Abstract

The study evaluates the effectiveness of the African Growth Opportunity Act (AGOA) on fostering economic growth in Least Developed Countries particularly on Zambia from 2005 to 2015. The study accounts for the economic benefits and terms of trade under AGOA. It examines the challenges and shortcomings that are limiting non-reciprocal preferential trade agreement between Zambia and the United States (US). The study makes use of the available sources such as electronic documents, books, journals and articles. Instruments to gather information from key informants such as interviews and questionnaires were used. The study reveals that AGOA has not been effective on fostering economic growth in Sub-Saharan Africa (SSA) considering high rate of poverty that is prevailing in Zambia. Challenges are also highlighted in the study. The research tender recommendations to policy makers and SSA countries governments on how best African countries can harness the economic benefits of AGOA. The study is expected to add to the available body of knowledge on the role of AGOA on fostering economic growth in SSA countries.