This publication by ADB Institute examines how infrastructure impacts firm performance in several CAREC countries: Afghanistan, Azerbaijan, Georgia, Kazakhstan, the Kyrgyz Republic, Mongolia, Pakistan, Tajikistan, and Uzbekistan.
The authors of the publication review power outages, electricity expenses as the share of total sales, access to broadband internet and efficiency of customs compared to firms' total sales, share of utilized capacity, dummy variable if firm exports and the share of export sales.
"Results indicate that firm performance measured through sales and capacity utilization is negatively affected by the duration of power outages and electricity expenses. Moreover, access to broadband internet significantly increases the total sales and export sales of small firms, while efficiency of customs increases the exporting activities of medium and large firms. For the development of private sector and international trade in CAREC countries, sustainable access to, and quality of, electricity, telecommunications, and customs efficiency are important objectives for government policy."
The publication is prepared by ADB Institute in the English language. Click here to access the publication.
Source: ADB Institute
Image: ADB Institute