Mitigating energy poverty in Sub-Saharan Africa: the role of public debt under economic vulnerability and economic uncertainty

Purpose This study examines nonlinear effects and regime shifts in the relationship between public debt and energy poverty across Sub-Saharan African countries, with an emphasis on the moderating influences of economic vulnerability and economic uncertainty. Design/methodology/approach Using a panel dataset of 28 Sub-Saharan African countries from 2010 to 2021, the study applies the panel threshold model developed by Seo and Shin (2016). Findings Empirical results from the panel threshold model reveal that public debt significantly reduces energy poverty in Sub-Saharan Africa when economic vulnerability and uncertainty are below critical thresholds. Moreover, public investment enhances energy access under these conditions. Originality/value This study contributes to the existing literature by elucidating the non-linear effects of public debt on energy poverty in Sub-Saharan Africa, with a particular emphasis on moderating factors such as economic vulnerability and uncertainty. It provides actionable insights for policymakers seeking to balance fiscal strategies with social welfare outcomes in fragile economies, underscoring the critical role of stable environments in maximizing the benefits of debt-financed energy projects.