1. 2011 African Economic Conference 25th – 28th, October 2011 Addis Ababa – Ethiopia Eric K. Ogunleye, Ph.D. Office of the Chief Economic Adviser to the President Abuja - Nigeria

2.  Introduction  Literature Review   Concept of Growth Poles   Channels of Transmission of Growth Poles from Core to Periphery  Empirical Results for Growth Polarity in Africa  A Framework for Structural Transformation in Africa through Development of Growth Poles   Identifying Regional Clusters   Value Chain Development  Policy Recommendations  Conclusion and Agenda for Further Research

3.  Structural transformation remains elusive in SSA  Disparities among countries could induce unfavorable socio-economic consequences, threatening overall stability  Objective: Proffer alternative solution for transformation in SSA based on the growth pole strategy  I  Identifying regional clusters that would serve as development corridors  D  Developing value chains of activities and commodities within each cluster

4.  Perroux (1950) provide a theoretical formalization of growth pole  Grouping industries around a core that are able to impact growth for the core area as well as that of the surrounding areas  Support the potential pole through infrastructure enhancement and incentives to private firms  “poor locations” and “politically driven” growth poles are challenges of successful growth pole development

6.  Follows Adams-Kane and Lim (2011)  Growth  Trade  Capital Flows  Migration  Technology

13.  Develop in-country and regional infrastructure to support growth poles  Improve natural resource exploitation and management  AfDB should take the lead in driving the growth pole process while the ECA and AU provide the political buy-in  Identify specific value chains and clusters for development in SSA countries and be committed to it

14.  Structural economic transformation is not impossible in SSA  Political will and commitment required to transform SSA through growth pole strategy  Empirically establish determinants of growth polarity in SSA(institutional quality, per capita income, economic integration, etc)