Industrialization constitutes one of the strategies of structural transformation in many sub-Saharan African (SSA) countries. In this paper, we re-examine the effect of financial development on the industrialization of 35 SSA countries over the period 1996–2018. Contrary to previous work, we formulate the hypothesis that there exists a threshold of financial development beyond which financial development positively influences industrialization. Using the dynamic panel threshold regression model, and system generalized methods of moment models, we find two main results. First, financial development has a negative and significant impact on the development of industrialization. Secondly, the findings show the existence of a nonlinear relationship between financial development and industrialization development. Thus, we find that financial development has a negative effect on industrialization below the threshold while the effect is significantly positive on industrialization in countries whose financial development is above the threshold. The results are stable to the different robustness tests used. These findings highlight the need for SSA countries to develop better financial institutions if they hope to boost the manufacturing sector.

中文翻译：

---

金融发展真的能促进撒哈拉以南非洲国家的工业化吗？

工业化是许多撒哈拉以南非洲国家的结构转型战略之一。在本文中，我们重新审视了 1996 年至 2018 年期间金融发展对 35 个撒哈拉以南非洲国家工业化的影响。与之前的工作相反，我们提出了这样的假设：金融发展存在一个门槛，超过这个门槛，金融发展就会对工业化产生积极影响。使用动态面板阈值回归模型和矩模型的系统广义方法，我们发现两个主要结果。首先，金融发展对工业化发展产生显着的负面影响。其次，研究结果表明金融发展与工业化发展之间存在非线性关系。因此，我们发现，金融发展对低于门槛的国家的工业化有负向影响，而对于金融发展高于门槛的国家的工业化则有显着的正向影响。对于所使用的不同稳健性测试，结果是稳定的。这些发现凸显了撒哈拉以南非洲国家如果希望振兴制造业就需要发展更好的金融机构。