IIARD International Institute of Academic Research and Development

IIARD INTERNATIONAL JOURNAL OF BANKING AND FINANCE RESEARCH (IJBFR )

E-ISSN 2695-1886
P-ISSN 2672-4979
VOL. 10 NO. 6 2024
DOI: 10.56201/ijbfr.v10.no6.2024.pg26.35

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Impact of National Debt on the Economic Growth of Nigeria for the Period 2000 to 2023

Ibrahim Mohammed Babbuli (Ph.D) and Danjuma Mohammed (Ph.D)

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Abstract

This study is aimed at investigating the influence of National Debt on Economic growth for the period 2000 to 2023. The study utilizes the quantitative method of research where the required study data was collected from published reports of the International Monetary Fund (IMF) and the World Development Indicator of the World Bank from 2000 to 2023. The collected data was analyzed using descriptive statistics, Regression, and Correlation techniques of analysis. The study found that National Debt has a negative and significant influence on the Economic growth of Nigeria for the period under review. The study recommends that National Debt should be managed efficiently by ensuring that those debts are channeled to infrastructures and sectors that are capable of generating income that will foster real economic growth and development. An unnecessary increase in debt will trigger a detrimental effect on the Economic growth and the overall well-being of individual households in the economy. The study, further recommends a more productive use of the National Debt Fund to contribute positively to Economic growth.

keywords:

Inflation, domestic debt, external debt, GDP, Interest rate

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