This paper shows that export diversification has a positive impact on economic growth. To achieve this result, we used annual time series data covering the period 1980 to 2014, on which we performed a stationarity test (ADF test). Then we used the Vector Error Correction Model (VEC) following a Co-integration test. The study shows that export diversification is very important in both the short and long term. But we find that export diversification contributes little to Benin's economic growth. This calls on the Beninese government to devise and implement long-term and short-term development strategies and institutional reforms to promote export diversification and bring about economic transformation. We have suggested a number of measures in this direction.
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