What is sectoral transformation?

Sectoral transformation refers to significant shifts in the structure and dynamics of an economy's sectors, such as agriculture, manufacturing, and services. This process often involves the reallocation of resources, changes in employment patterns, and the adoption of new technologies, leading to increased productivity and economic growth. It can be driven by various factors, including globalization, technological advancements, and shifts in consumer demand. Ultimately, sectoral transformation aims to enhance the overall efficiency and competitiveness of an economy.