mechanisms to enhance the effectiveness of FDI and ODA in meeting the SDGs
(Asongu and Nwachukwu 2017; Fowkes et al. 2016).
As already mentioned in Sect. 5.1, there are extensive synergies and interlinkages
between SDG targets (ICSU 2017; Zhou and Moinuddin 2017). Similar synergies
and interlinkages can be found within ODA flows (Fig. 5.4). The results suggest that
most ODA projects have some component related to SDG 16 and SDG 9 (industry,
innovation and infrastructure). These multiple and strong connections to SDG 9 hint
that it is assumed that national economic development can indeed contribute substantially to meeting the SDGs, while the importance of SDG 16 points to the
underlying challenge of addressing weak institutions, conflicts and corruption
(Mohamed et al. 2015; Asongu and Nwachukwu 2016) (Chap. 1 Vol. 1).
5.3.2 FDI and ODA Determinants in Africa
Our literature review suggests a general agreement that FDI and ODA can help solve
many of the sustainability challenges in Africa, supplementing domestic savings to
incentivize sustainable development and spur local value-added activities (Asiedu
2002; Gui-Diby and Renard 2015; Cleeve et al. 2015) (Chap. 1 Vol. 1). Nonetheless,
both attracting FDI/ODA, and effectively using them to achieve sustainable development, resilience and the development of human capital, presents a challenge in
itself, especially in African countries that are lacking appropriate institutions, capacity and/or infrastructure (Chap. 1 Vol. 1).
Figure 5.5 contains a conceptual map that visually represents the factors that
influence the inflow and effective use of FDI and ODA in Africa. In particular, the
linkages in Fig. 5.5 essentially delineate positive and negative cycles associated with
the attraction of FDI and ODA. Green boxes indicate constructive aspects that
SDG 1
SDG 2
SDG 3
SDG 4
SDG 5
SDG 6
SDG 7
SDG 8
SDG 9
SDG 10
SDG 11
SDG 12
SDG 13
SDG 14 SDG 15
SDG 16
SDG 17
Fig. 5.4 SDG interlinkages within ODA projects in Africa between 2000 and 2013. Note: The size
of each arc at the horizontal axis represents the number of projects that involve a component related
to the SDG. The size of the links between arcs represents the number of projects that address those
two SDGs within the same project. Debt-related ODA is included in the underlying calculations
170
J. Lopes et al.
(Asongu and Nwachukwu 2017; Fowkes et al. 2016).
As already mentioned in Sect. 5.1, there are extensive synergies and interlinkages
between SDG targets (ICSU 2017; Zhou and Moinuddin 2017). Similar synergies
and interlinkages can be found within ODA flows (Fig. 5.4). The results suggest that
most ODA projects have some component related to SDG 16 and SDG 9 (industry,
innovation and infrastructure). These multiple and strong connections to SDG 9 hint
that it is assumed that national economic development can indeed contribute substantially to meeting the SDGs, while the importance of SDG 16 points to the
underlying challenge of addressing weak institutions, conflicts and corruption
(Mohamed et al. 2015; Asongu and Nwachukwu 2016) (Chap. 1 Vol. 1).
5.3.2 FDI and ODA Determinants in Africa
Our literature review suggests a general agreement that FDI and ODA can help solve
many of the sustainability challenges in Africa, supplementing domestic savings to
incentivize sustainable development and spur local value-added activities (Asiedu
2002; Gui-Diby and Renard 2015; Cleeve et al. 2015) (Chap. 1 Vol. 1). Nonetheless,
both attracting FDI/ODA, and effectively using them to achieve sustainable development, resilience and the development of human capital, presents a challenge in
itself, especially in African countries that are lacking appropriate institutions, capacity and/or infrastructure (Chap. 1 Vol. 1).
Figure 5.5 contains a conceptual map that visually represents the factors that
influence the inflow and effective use of FDI and ODA in Africa. In particular, the
linkages in Fig. 5.5 essentially delineate positive and negative cycles associated with
the attraction of FDI and ODA. Green boxes indicate constructive aspects that
SDG 1
SDG 2
SDG 3
SDG 4
SDG 5
SDG 6
SDG 7
SDG 8
SDG 9
SDG 10
SDG 11
SDG 12
SDG 13
SDG 14 SDG 15
SDG 16
SDG 17
Fig. 5.4 SDG interlinkages within ODA projects in Africa between 2000 and 2013. Note: The size
of each arc at the horizontal axis represents the number of projects that involve a component related
to the SDG. The size of the links between arcs represents the number of projects that address those
two SDGs within the same project. Debt-related ODA is included in the underlying calculations
170
J. Lopes et al.