Impact of Incentives on Public Sector Performance: Comparing African and European Systems

This paper examines the varying impact of financial and non-fi­nancial incentives on public sector performance across Africa and Europe. Using a mixed-method comparative analysis, the study highlights key differ­ences: in Africa, intrinsic motivators such as job satisfaction and organiza­tional commitment drive productivity, while in Europe, structured financial incentives like performance-related pay (PRP) play a significant role. How­ever, the effectiveness of PRP is uneven, particularly in decentralized govern­ment institutions. The paper advocates for a hybrid incentive model that in­tegrates both intrinsic and extrinsic motivators, tailored to each region’s cul­tural and economic contexts, to enhance public sector performance.