Impact of Capital Expenditure on Exchange Rate within the Period of the Second and Fourth Republic in Nigeria

Government involvement in economic activities through fiscal policy, according to Keynes is very crucial for the growth of the economy. The government uses fiscal policy to regulate the economy through expansion or contraction of its spending consisting of recurrent and capital expenditures. However fiscal expansion tends to lead to increase in exchange rate. This paper examines the impact of government capital expenditure on exchange rate in Nigeria, using disaggregate approach. The finding indicates that Nigerian government capital expenditure, particularly government spending on social and community services has a statistically significant impact on exchange rate in Nigeria, while capital expenditures on administration, economic services and transfer are not statistically significant in respect to their impact on exchange rate. Based on this finding, policy recommendation was made that government should ensure strict compliance with the procurement act in the awards of government capital projects contracts to avoid over invoices. More so, high percentage local content should be ensure in all capital projects to minimize imports which may increase demand for foreign currency and put pressure on exchange rate

Assessment Of The Effect Of Socio-Economic Infrasturcture On Rural Economy In Kaduna State, Nigeria

The paper examines the effect of socio-economic infrastructure of the rural areas on the rural economy in Kaduna State. The study adopts a correlation analysis, a Multicollinearity and Cronbach Alpha Reliability tests as well as regression analysis on primary data. Findings from the study reveal that there is a positive relationship between socioeconomic infrastructure and rural economy, while the multicollinearity test shows absence of high correlation among the independent variables and the Cronbach Alpha confirms internal consistency of the variables. Furthermore, the regression analysis indicates that socio-economic infrastructure, particularly road, electricity supply, market and telecommunication infrastructure all have positive and statistically significant effects on the rural economy. The paper therefore, recommends that governments should increase efforts towards developing the infrastructure in the rural areas in order to facilitate the growth of the economy in the rural sectors

Air Transportation Development and Economic Growth in Nigeria

This work is an evaluation of the influence of air transport sector development on economic growth in Nigerian. Over the years, various governments of Nigeria have put in place a series of policy instruments for the development of the aviation sector as sinews to bolster the desired growth. But air transport system continues to mirror inefficiency, mismanagement and airline mishap. This study developed a series of econometrics models including dynamic ordinary regression equation, cointegration, error correction model and granger causality techniques to examine the relationship between air transport and economic growth. The analyses suggests a positive influence of air transport on economic growth, a long run equilibrium relationship and a causal unidirectional relations from air transport to economic growth. The diagnostic test for the normality of the model showed that the model functional form is adequate, stable with no serial correlation. From the analysis, this study recommends a proactive and dynamic cohesive transport policy that benefits all the stakeholders. Also, the sector must improve on its managerial expertise guided by adequate transparency and accountability in order to achieve results and develop the sector to an international standard worthy of emulation. Keywords: Air transport, Economic growth, Econometric analysi

Institutional Factors and Personal Income Tax Compliance in Kaduna State-Nigeria

This study investigates the Institutional factors and Personal income tax compliance in Kaduna State- Nigeria. The population consist of all 991 registered self-employed business men and women that registered with the Directorate of Poverty Alleviation and lives in Kaduna, kafanchan  and Zaria cities of the State. Stratified random sampling was used to select the 285 respondents that form the sample size. Data were collected through administering of questionnaire while the techniques for data analysis are the descriptive statistics and multiple regressions. The study finds among others that good governance and taxpayers’ awareness have a positive significant relationship with the level of taxpayers’ compliance in the State. The study, therefore recommends that effective communication is necessary in order to publicize tax activities, mainly on compliance issues to the general public. Also, transparency and accountability should be the guiding principles in thought and action of government as the basis for good governance in the State. This can be achieved through aggressive human capital development, as this will go a long way in encouraging taxpayers to be more compliant in the state. Keywords: Institutional Factors. Personal Income Tax, Tax Complianc

Impact of Public External Debt on Exchange Rate in Nigeria

With continuous increase in public expenditures, and low capital formation in many developing countries, many governments have resorted into borrowing either or both within and outside the country. However, most borrowings come with interest attached, which results in debt servicing. Serving external debt may involve demand for foreign currency which tends to affect the exchange rate of the country. Hence, this study examines the impact of public external debt on exchange rate in Nigeria. Using the Ordinary Least Square, on the secondary data sourced from the CBN and DMO among other sources, findings reveals that all the dependent variables, that is, external debt, debt service payment and foreign reserve proved to be statistically significant in explaining exchange rate fluctuation in Nigeria within the period of observation, with debt service payment having the strongest effect (Coeff: 0.4443). Based on the finding, the study recommends that government should ensure that all public borrowing, where and when necessary, be directed towards productive economic activities which can generate returns to service and pay up the debt at maturity. Keywords: Public Debt, Foreign reserve, Exchange rate, Expenditur

Anchor Borrower Programme on Agricultural Commodity Price and Employment Generation in Kebbi State, Nigeria

Low investment in the agricultural sector, as well as problem of financing are among the major challenges hindering farmers in the rural areas engaging in mechanized farming that might increase food supply, and thereby checking the agricultural commodity prices, and possibly creating more job opportunity in the agricultural sector. In an effort to meet the food supply for the growing population of the country, the government introduced various policies aimed at achieving self-sufficiency in basic food supply, among these policies is the Anchor Borrower Programme. This study examines the impact of Anchor Borrower Program on agricultural commodity price and employment generation in Kebbi state, Nigeria. Data were collected through interview and structured questionnaire administered to a sample of 400 farmers in Argungu L.G.A, of which 360 questionnaire were correctly filled and returned. A multiple regression analysis was used to analyse the data. The results reveal that Anchor Borrower Programmes (ABP) supports for farmer have a positive and statistically significant impact on agricultural commodity price (ACP) and employment generation (EMPG) in agricultural sector in Kebbi state, particularly in Argungu LGA. Based on the findings of this study, it is recommended that anchor borrower programme policy in Nigeria should be encouraged and subjected to periodic review so as to provide more platforms for employment generation and stabilize agricultural commodity price in Kebbi state, particularly in Argungu LGA

Financial System Broadening and Economic Performance

A considerable amount of scholarly works have examined the link between financial system broadening and economic performance using varieties of econometric models. Although, most of these studies have concentrated attention on the developed economies, very few have examined the impact on emerging economies. In Nigeria, some efforts have been made, though not comprehensive enough to model this nexus. This has created gap in the literature which needs to be filled. It is in view of this that this study examines the tie between financial system broadening and economic performance. The time series data was collected from the Central Bank of Nigeria Statistical Bulletins covering a period of 55 years (1960 – 2014) and analyzed using descriptive statistics, Pearson’s correlation using SPSS 22, and multiple regression analysis using Eviews 8.0. The findings reveal that financial system broadening via aggregate money supply has positive effect on the economic performance. However, financial system broadening via credit to private sector has a negative effect on the economic performance. The study also finds that money supply is positively correlated with economic performance. Private sector credit also shows a positive relationship with economic performance. The study was limited by including only fifty-five years in the selection of period covered, making this possibly biased selection and it may not be adequate to generalize the results for Nigeria. The study has contributed to the economic performance literature with a better understanding of the role of financial system deepening and its association with economic performance. This study provides valuable knowledge to policy makers and economic managers, to refine their current policies and subsequently improve financial system broadening and economic performance. Keywords: Economic performance, financial system broadening, Nigeria

Impact of Capital Flight on Exchage Rate and Economic Growth in Nigeria

Abstract Capital flight has been a source of major concern in developing countries, especially in Africa, wher

GOVERNMENT CAPITAL EXPENDITURE IN ECONOMIC SERVICES’ SECTOR AND ECONOMIC GROWTH IN NIGERIA

This study examined the impact of government capital expenditure in economic services’ sector on Nigeria’s economic growth between 1981 and 2020, using ARDL model. The data obtained were secondary sources, CBN Statistical Bulletin, National Bureau of Statistics.  The dependent variable of the study is Gross Domestic Product (GDP), proxy as economic growth, while Capital Expenditure on Agriculture (AGEX), Capital Expenditure on Manufacturing, Mining and Quarrying (MGEX), were the independent variables. The results of the findings reveal that both AGEX and MGEX have positive relationship with GDP and at the 5% significant level, are statistically significant. The study therefore recommends that since spending in the areas of infrastructural facilities is a good determinant of output growth, government should ensure that basic infrastructural facilities needed in these sectors (agriculture and manufacturing, mining and quarrying) such as good roads, storage facilities stable electricity and so on, are provide