The Impact of Debt Burden on the Economic Growth of Nigeria (1970- 2021)

The study used autoregressive distributed lag (ARDL) to examine the influence of external debt on Nigeria’s economic growth using annual time series data from World Bank Development Indicators from 1970 to 2021. The findings show a significant positive relationship between interest rates and economic growth in the short and long run. In contrast, inflation rate significantly negatively impacts economic growth in the short and long run. External debt, external debt service, and the exchange rate have an insignificant impact on economic growth in the short and long run. The study recommends reducing the cost of governance to promote development, while investment in the Nigerian economy should be encouraged

An Empirical Analysis of the Impact of Public Debt on Economic Growth: Evidence from Nigeria 1975-2005

This paper focuses on the impact of public debt on economic growth using Nigeria as a case study. An analysis of the long-run relationship and impact of debt from the perspective of the value impact and proportional impact was done. The value impact variables used herein include the external debt value, domestic debt value, total debt value and budget deficit figures. The proportional impact variables are ratios of the value impact to the gross domestic product (GDP). An augmented Cobb Douglas model was used and subsequently a dynamic version of the functional relationship was estimated using Co-integration technique to capture the long-run impact of debt variables on economic growth. The result showed that the joint impact of debt on economic growth is negative and quite significant in the long-run though in the short-run the impact of borrowed funds and coefficient of budget deficit is positive. In the study, the speed at which the short-run equation converges to equilibrium in the long-run as shown by the Error Correction Mechanism coefficient was found to be slow. The conclusion from this study is that though in the short-run the impact of borrowed fund on the Nigerian economy was positive, the impact of debt in the long-run depressed economic growth as a result of incompetent debt management.Key words

Leveraging on Rural Cooperatives in Informal Sector Financing for Economic Growth

This paper focuses on the finance function as it relates to economic growth and development in rural economies against the backdrop of the imperatives of inclusive growth and the underlying expected roles of small and medium enterprises that are generally seen as engines of growth. An attempt has herein been made to see why the experience in Nigeria of direct intervention through microcredit schemes have failed and which calls for a rethink and the proposition of the need to leverage on rural cooperatives for informal sector financing. This has herein been reinforced by putting forward a reasonable scholastic view of the advantages of rural informal cooperatives over the formal ones with the conclusion that over time if the rural informal cooperatives are supported to stabilize, they will on their own transform into formidable formal institutions without any coercion. Keywords: Rural informal cooperatives, Inclusive growth, Small and Medium Enterprise

External Debt and Nigeria’S Economic Growth Nexus, Matters Arising

This study focuses on the impact of external debt on economic growth of Nigeria and in order to carry out an empirical analysis a Simple Regression analysis of the least square method of parameter estimator was done. The significance of the estimated parameters was also subjected to tests like Analysis of Variance, Student t- test, Correlation coefficient (R) and Coefficient of determination R2. The empirical results via the parameters’ estimates revealed that external debt and debt service have negative and positive influence respectively, though the external debt’s estimate was not too strong, on economic growth. The empirical Student t-test and F-statistic when compared with theoretical table values at both 1% & 5% significance level, suggests the acceptance of Null hypothesis stated for equation I which confirms the validity of the negative impact of external debt on economic growth of Nigeria and the acceptance of Alternative hypothesis for equation II which confirms the positive significant relationship between economic growth and debt service. However, the R2 of 53% and 64% reveal that the equations of the models were well fitted that is the independent variable was adequately explained by the explanatory variables. In view of the negative contribution of external debt to economic growth, it is recommended among others, that cost-benefit analysis, prioritization of projects, absorptive capacity of the economy, investment on productive self-financing projects, probity as well as accountability in handling government resources and debt sustainability should form the basis for contracting external debt finance

The Effect of Ownership Structure on Firm Performance of Listed Consumer Goods Firms in Nigeria

The study analysed the influence of ownership structure on the firm performance of fifteen (15) listedconsumer goods firms in Nigeria from 2011 to 2021. The firm's performance was proxied by return onassets and enterprise value. The ownership structure was measured by the chief executive officer(CEO), board, and block ownership. The findings show that CEO ownership significantly positivelyaffects the return on assets of listed consumer goods firms in Nigeria. Board and block ownership havean insignificant influence on the return on assets of listed consumer goods firms in Nigeria. Similarly, block ownership significantly positively affects the enterprise value of listed consumer goods firms inNigeria. CEO and board ownership have an insignificant effect on the enterprise value of listedconsumer goods firms in Nigeria. The study recommends that block owners should be allowed to usetheir skills and experience to help companies achieve their goals

Working Capital Management and Firm Value: Evidence from Listed Non-Financial Firms in Nigeria

This study examined the effect of working capital management on the firm value of non financial firms in Nigeria using the enterprise value multiple which was measured as enterprise value scaled by EBITDA as the indicator of firm value and extracted panel data from audited financial statements of sampled thirty-three non-financial firms listed on the Nigerian Exchange Group (NGX) Plc from 2012 to 2021. The results of the static panel least square and the panel fixed effect model estimation techniques revealed that all the WCM components have a significant effect on the firm value of non-financial firms in Nigeria which implies that WCM is highly essential for improved firm value. We, therefore, recommend that non-financial firms in Nigeria should adopt conservative account payable management strategies that will enable quick settlement of short-term obligations when they fall due. They should also adopt liberal account receivable management strategies that will not endanger their liquidity and cash flow