Female Human Capital and Economic Growth in Sudan: Empirical Evidence for Women’s Empowerment

Abstract

Human capital in general spurs economic growth. Female human capital in terms of education and health in particular is important for economic growth in countries where poverty and gender inequalities are pervasive, such as Sudan. This study aimed to investigate the role of female human capital in economic growth in Sudan, together with female labor force participation and women’s participation in the national parliament. The study applied a basic autoregressive distributed lag model ARDL and a nonlinear (NARDL) accounting for structural breaks to time-series data over the period 1975–2021. The bounds tests revealed that female human capital variables and economic growth have a long-run equilibrium relationship. The empirical results revealed that female human capital has a negative effect on gross national income per capita (GNIP). However, female labor participation was found to have a significant positive effect on economic growth in both models. Prevalence of HIV/AIDS among women of age 14–25 has a significant negative effect on economic growth, which is likely also reflecting the negative effect of female human capital. Results also showed that women’s participation in the parliament has positive and significant effect on economic growth in the short run only. The study argues for enhancing female human capital via female enrollment in education and through the promotion of women’s health, including combatting HIV/AIDS. Effective female labor participation can be enhanced through reductions in women’s vulnerability in employment and increasing their work in waged formal sectors. Women’s political empowerment could foster long-term growth, but its quality aspects must be ascertained.