Multidimensional Poverty Analysis and Informal Sector in Nigeria

The ability of the formal sector (public and organized private sectors) in Nigeria to generate employment and provide means of livelihood has been truncated by the economic crisis that dates back to the 1980s. The informal sector therefore, serves as the safety net that provides jobs and means of survival to the teeming unemployed population in the country. This paper therefore, examines: job creation in the informal sector; income earning capacity of informal sector operators; and the level of poverty reduction recorded by the operators of the informal sector. Apart from the specific objectives, other issues examined include, the background; operational; and the economic characteristics of the operators. A total of 100 structured questionnaires were distributed to informal sector operators to collect data in Ilorin metropolis. Out of this, 81 were returned valid and analyzed using descriptive statistics and multi-dimensional poverty index. The results from the study show that informal sector activities provide employment and income for the urban poor. About 83 percent of operators were employed on full-time basis while 16.1 percent of the respondents are employed on part-time basis. The mean previous employees  were computed at 2; current employees per operator stand at 4 on the average and that, an operator employs between 1 to 14 people maximum. Some other operators train apprentices who become self employed upon completion of the training. The mean apprentice per operator was estimated at 3.  Most of the informal sector operators earn an average income of N8, 468.42 per day. The study finds further, that reduction or increase in multi-dimensional poverty is strongly determined by number of hours worked per day; number of days worked per week; earnings; educational attainment and savings per day. The paper however, identifies a weak institutional support and thus recommends more support from the government in order to combat unemployment and poverty in the country

Imperative of economic integration among Muslim countries: Lessons from European globalisation

Purpose – The paper was written to highlight the advantages of initiating economic integration among Muslim countries across the globe, drawing special lessons from Europe's experience; its successful economic integration and challenges which trailed the process. Design/methodology/approach – The methodology is basically descriptive and analytical. Theoretical construct and model on economic integration was developed for adoption by the Muslim countries. The model seeks to enhance their economic strength through intra and inter trade relations and reduces their weaknesses through specialization. Secondary data from Organization of the Islamic Conference and Islamic Development Bank member countries were exhaustively used in the study. Findings – The paper found out that integration is plausible and beneficial, however, a concerted effort must be made in promoting technological development, raise human capital, and improve the product diversification among Muslim countries while developing stable institutions and infrastructures. Two, the potential benefits of integrating exceed the costs. The emphasis needs to be, not in cutting costs/inputs (reductionist approach), but on generating more wealth/revenue/income (incrementalist approach) that results in reducing the huge external debt, poverty, diseases, frustration, and corruption in most Muslim countries. Three, key to Muslims' socio-economic happiness is through mutual cooperation for growth and development (Qur'an 42:38, Q3:159). Research limitations/implications – The major contributions of this paper are three, firstly, the paper explores a faith-based integration effort, and secondly, it identifies reasons for low success in the integration efforts among Muslim countries and finally suggests an econometric model based on faith that neglects the artificial geographical barrier. Practical implications – The practical implication of the paper is the recommendation to establish a Muslim Economic Bloc because Muslim countries are economically heterogenous group, with uneven development and growth pattern. Originality/value – The paper is major contribution in the field of Islamic economics and applied economics. Contrary to what we know in the conventional economics, this paper advocates a faith-based economic model and bloc in a globalised world economy. It is a contribution to existing literature.Economic integration, Globalization, Islam