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The reduction in rural marginalization of infrastructure in Africa has been achieved through the wide diffusion of the so-called fiscal deviation. According to New Institutional Economics, the provision of public resourcing at the local level is more economic since it meets the geographic specificity of infrastructure provisions. However, when intergovernmental fiscal transfers are towards rural road provision, it is majorly because of several structural impediments, that the corrected road will not be realized. This systematic review of literature with regards to devolution and infra-structure provision has laid emphasis on going beyond overly simplistic input-output models to explore the multiple filters regulating decentralized public works. The focus here is on institutional capacity as a crucial explanatory factor and the way deficits in technical engineering, equipment maintenance, and procurement governance conspire to undermine the potency of devolved funding. Moreover, the study discusses the moderating effects in the face of instability in the broader economy, illustrating how hyper-inflation and currency depreciation can deplete real infrastructure funds purchasing power and result in the erosion of the contractor attrition as observed. Finally, the review has identified systemic barriers, such as climate vulnerability and ministerial red-tape friction. The synthesis of empirical literature from 2010 to 2024 suggests that fiscal decentralisation without a built institutional capacity and insulated mechanisms against macroeconomic turbulence cannot deliver in the long run.

Over the years, there have been huge variations in the growth performances of the economies in SSA. Whilst these disparities can be attributed to a wide range of factors, it is generally understood that differences in their economic structures explain the capacity for generating growth and absorbing shocks during a recession. This study contributes to literature by examining the impact of institutional quality and financial development on economic growth in low- and middle-income countries. Data was obtained from the World Bank and covered the period from 1975 to 2020. The study employed an ARDL model to establish both short and long run dynamics in the two sub samples. The study confirmed both short and long run causality from financial and institutional quality to growth. Institutional quality enhances growth in both low- and middle-income countries in the long run. Whilst the direction of the impact is the same, the magnitude of the impact of institutional quality is different within the two categories. Institutional quality plays a more significant role in low-income countries compared to middle income economies. The study brings out potential financial fragility and systemic risks in financial institutions among countries in SSA. Policies that enhance the quality, consistency, and uniformity of legal reasoning in judicial decisions are ideal. Reducing the risk profile for investments may enhance the flow of credit to the private sector by financial institutions.

This paper explores the inter-connectedness of remittances and financial development and how their associated covariates such as savings, investment, money supply and economic growth are impacted by this relationship. The study employs a panel vector autoregression (P-VAR) estimation technique, and the generalized methods of moments (GMM) are applied after removing fixed effects and lagged regressors are used as instruments to have consistent estimators. The main findings of the study demonstrate that (i) remittances and financial development have a feedback interrelationship, and some interlinkages are identified amongst their covariates, (ii) economic growth has a dual connection with financial development and that (iii) savings, investment, and broad money supply influence both financial development and remittances. These findings contribute to current discussions in the literature as they support the importance of deepening financial markets in SSA, and attracting more remittances. The significant role played by the diaspora in improving domestic financial depth is confirmed. Progression in SSA economic growth helps to stimulate those in the diaspora to repatriate most of their earnings back home.