IIARD International Institute of Academic Research and Development

INTERNATIONAL JOURNAL OF SOCIAL SCIENCES AND MANAGEMENT RESEARCH (IJSSMR )

E-ISSN 2545-5303
P-ISSN 2695-2203
VOL. 10 NO. 3 2024
DOI: https://doi.org/10.56201/ijssmr.v10.no3.2024.pg77.104

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An Escalating Analysis of the Role, Impact and Ramification of Investment in the Nigerian Economy and Outlook to Year 2035

Rex Oforitse ARUOFOR, Ph.D, Daniel Risiagbon OGBEIDE, Ph.D

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Abstract

The economic transformation agenda, otherwise known as Nigeria Vision 20: 2020 set the direction for the industrialization policy in Nigeria which aimed at achieving greater global competitiveness in production of processed and manufactured goods by linking industrial activity with primary sector activity, domestic and foreign trade and service activity. The main objective of the vision was to improve the well-being of Nigerians, with the aim of reducing the problems of hunger, poverty, poor healthcare, inadequate housing, low quality human capital, gender imbalance, low productivity and poor basic facilities by 2020. In the above connection, Nigerian industrial revolution plan defined clear goals, governance structures, monitoring frameworks and implementation strategies. These policies have proved abortive due to a myriad of challenges, ranging from incessant power outages, lack of finance/capital, multiple government taxation and insecurity among others. Indeed, Economists and Practitioners worldwide are of the opinion that investment promotes growth and development and that investment propagates itself. Indeed, investment is very crucial for any nation to develop. Extant administrations have not done very well to improve investment and thereby industrialization in Nigeria. Therefore, an escalating analysis of the role of investment in Nigeria using Total differential systems modeling approach with Markov Chains Analysis will help to foster more understanding of the issues involved and ginger up government to its responsibilities. From the results of this study, it was found that the major channels through which investment and consequently industry can be promoted in Nigeria are non-oil exports and personal wealth, with investment probability of 0.9371 followed by personal wealth with a probability of 0.9063. The study recommends that Government should

keywords:

Investment, Industrialization, Total differential systems modeling approach, Markov Chains Analysis, Non-oil Exports, Per capita savings, Growth and Development

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References:

Adeyoju, S. K. (1975). Forestry and the Nigerian economy. Ibadan University Press, Nigeria.
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Aruofor, R. O. (2001). Economic Systems Engineering: An Essay in quantitative models and
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Aruofor, R. O. (2003): A Presentation of Two Simulated Approaches to Markov Chains Transition
Matrix Estimation from Aggregate Data.The Nigerian Economic and Financial Review,
Vol. 8 No. 2 pp 51-76,:Department of Economics andStatistics, University of Benin,
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