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This study provides a pioneer analysis of the growth effect of WAEMU integration at
the econometric level, unlike the extant literature that relied on descriptive analysis of the sub-
region’s trade statistics. The study used robust instrumental variables system GMM regression in
the framework of a cross-country growth model and annual panel data for the period 2000 to 2015.
Contrary to the widely held view that regional economic integration fosters economic growth
of the participating countries, we did not find any empirical support for a positive growth impact of
WAEMU integration in West Africa, which may be due to a variety of factors that mainly point to
the characteristics of the WAEMU economies. However, the results indicate that foreign direct
investment (FDI), institutional quality, capital, labour and the initial real per capita GDP are impor-
tant drivers of growth in the sub-region. Interestingly, the results further indicate that FDI and
institutional quality are the channels through which WAEMU integration may impact on growth
in West Africa. The study therefore concludes that policy reforms towards improved institutions
and increased FDIs will enhance economic growth in West Africa.
