Budgetary Implementation and Performance of the Public Sector

Prince Okechukwu Moore; Ven. Prof. Onuora; J.K.J  Ujam; Oluchukwu Juliet

doi:10.56201/ijebm.v10.no7.2024.pg249.264

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Budgetary Implementation and Performance of the Public Sector

Prince Okechukwu Moore, Ven. Prof. Onuora, J.K.J Ujam, Oluchukwu Juliet

Abstract

The study examined the effect of budgetary implementation and performance of public sector in Nigeria. The independent variables of this study are government recurrent expenditures and capital expenditure, while the dependent variable is real gross domestic product. The study adopted Ex-post facto research design. The study covered the period of 1981-2023 based on the convenient and systematic sampling techniques. This period is adopted because the duration is considered appropriate because it helps to have robust findings. The study makes use of a secondary source of data (time series data), the data will be collected from CBN statistical bulletin for the period 1981-2023’. The area of the study is Nigeria public sector, as the study use economic indicator measure performance of public sector in Nigeria (RGDP). Ordinary Least Square Regression Model was developed to test the effect between dependent and independent variables. It was operated using EVIEWS 10. The results of the Ordinary Least Square Model revealed that, government recurrent expenditure has a positive and significant effect on the real gross domestic product (RGDP) of (P<.5), government capital expenditure has a negative insignificant effect on the real gross domestic product (RGDP) of (P>.5). In conclusion, both recurrent and capital expenditures by governments in Nigeria play very important roles in boosting the country's economic growth. While recurrent expenditures ensure the smooth functioning of the public sector and immediate economic stimulation, capital expenditures lay the foundation for sustained development and increased productivity. The study recommended that, government should maintain timely and efficient allocation of funds for recurrent expenditures to ensure continuous and effective delivery of public services, which in turn supports economic stability and growth and also, governments should increase and prioritize capital expenditures on ke

Keywords

State Government ExpenditureRecurrent ExpenditureCapital Expenditure Economic

References

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Budgetary Implementation and Performance of the Public Sector

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