The classical economists like adam smith and david ricardo have argued that international trade is the main source of economic growth and more economic gain is attained from specialization. The above structural issues can be summarized as follows with respect to the oil sector in the last decade and half. Get free research paper on oil and nonoil export on the economic growth of nigeria 1983 2007project topics and materials in nigeria. Although no country is immune to such global crises, the over reliance on oil export revenue by nigeria. This study, however, failed to analyze clearly the effect of bank credit on non oil export earning cum economic growth of nigeria. Mar 22, 2020 closing its 5year activities in nigeria, it recently held a policy dialogue and an award ceremony, in abuja, with a view to encouraging key plays in the non oil export sector to sustain the. The study investigates the impact of nonoil export on economic growth in nigeria between 1980 and 2010.
The study investigates effect of nonoil export on the economic development of nigeria. Nigeria has recorded a significant rise in its nonoil export, with agricultural goods increasing the countrys foreign exchange earnings. The essence of this work has been to determine the effect of non oil export on economic growth in nigeria, during the period of 19862010. It examined the significant role of nonoil export on economic growth which the previous studies might have ignored and the aggregate nonoil exports. Olayiwola, kolawole and okodua, henry 20 foreign direct investment, nonoil exports, and economic growth in nigeria. Asanebi 2007 in his study on the relationship between nonoil exports and economic growth in nigeria using linear correlation co efficient analysis, observed that the performance of non. The aim of this paper is to identify the role industrial sector plays in driving the gdp of nigeria. H1 that non oil export has not contributed significantly to the economic growth of nigeria. This study examines the effect of non oil export on economic growth of nigeria. Nonoil exports and its associated revenue from nonoil sectors products has a positive impact on nigerias economic growth and development. Some previous studies showed the relationship between non oil exports and nigeria economic growth while other showed the extent at which non oil export individually affect the economic growth of nigeria. The impact of exchange rate on nigeria nonoil exports. In carrying out this study, secondary data were collected and empirical analysis was made.
Oil accounts for over 90 percent total of export in nigeria, while nonoil account for less than 10 percent totals of export. This will catalyse the nonoil sector output to export levels for the betterment of the nigerian economy. In achieving the objectives of the study, ordinary least square methods involving. An investigation of the impact of non oil exports on. H0 that nonoil export has contributed significantly to the economic growth in nigeria. Drawing from the empirical investigation into the impact of oil export on economic growth in nigeria using rgdp as the dependent variable and labour, capital domestic consumption, oil export and total production as independent variables from 1970 2006, it emerged from the study that there is significant relationship between labour, domestic. Time series analysis of nonoil export demand and economic. Policies aimed at boosting the level and significance of the nonoil export were proposed. In other words, the type of products oil and nonoil that nigeria exports to other countries of the world really matters for the growth of nigerian economy. The relationship between exports, economic growth and development has long been a subject of much interest in development literature. The results show that nonoil export has a positive impact on economic growth suggesting that policies formulated towards improving the export of nonoil commodities in nigeria will directly boost output growth of other sectors such as agriculture, manufacturing, services etc. Implication of nonoil exports on nigerias economic growth. The essence of this work has been to determine the effect of nonoil export on economic growth in nigeria, during the period of 19862010. This study examines the contribution of non oil export to the growth of the nigerian economy for the period.
Nonoil export determinant and economic growth nigeria 1988. This report examines the export potential of nigerias principal nonoil sectors, agriculture and manufacturing. The nigerian economy has for decades precariously leaned on the fragile leg of crude oil. This study, however, failed to analyze clearly the effect of bank credit on nonoil export earning cum economic growth of nigeria. Effects of oil export revenue on economic growth in nigeria. Impact nonoil export on economic growth of nigeria mensch mind. Effects of nonoil export on the economic development of. Abstract the essence of this work has been to determine the effect of nonoil export on economic growth in nigeria, during the period of 19862010. The model built for the study proxy gross domestic product as the endogenous variable measuring economic growth as a function of real exchange rate, rate of oil export, rate of non oil export, index of trade openness and inflation rate proxy as the exogenous variables. Contribution of non oil exports to economic growth in nigeria 1985. This is approved for students in accountancy, business, computer science, economics, engineering, arts.
Are there any causal relationships or what are the dynamic interactions among non oil exports, fdi, and economic growth in nigeria. Exports from nigeria soared 48 percent yearonyear to ngn 1,396 million in december of 2019, driven by shipments of manufactured products 1180 percent and crude oil 14. Some previous studies showed the relationship between nonoil exports and nigeria economic growth while other showed the extent at which nonoil export individually affect the economic growth of nigeria. However, a glance at the nigerian economy from its export perspective shows that export is disaggregated into two goods. Effects of nonoil export on the economic development of nigeria. Nigeria nonoil export prospects english the world bank. Therefore, using annual data from 1970 to 2015, oil revenue export is found to positively and significantly contribute to economic growth throughout the period of study. Meanwhile, sales fell sharply for agricultural goods 38. This explains why in recent times, the major policy concern of the federal government focused on expansion of nonoil exports in a bid to diversify nigerias export base. It examined the significant role of non oil export on economic growth which the previous studies might have ignored and the aggregate non oil exports data used by them might bias their conclusions.
The model built for the study proxy gross domestic product as the endogenous variable measuring economic growth as a function of real exchange rate, rate of oil export, rate of nonoil export, index of trade openness and inflation rate proxy as the exogenous variables. The effects of the recent global economic crises on nigerias economy have reaffirmed the urgent need for economic diversification in the country. The current statistics indicate that the nonoil sector revenue is. Using the augmented production function apf and the endogenous growth model egm, onudugo, ikpe, and anowor 20 examined the impact of non oil exports on economic growth in nigeria using. This study investigates the specific impact of the nonoil exports to the growth of nigerian economy using data between 1981 and 2012 the study adopted the. H0 that non oil export has contributed significantly to the economic growth in nigeria. The nigerian export import bank is statutorily mandated to facilitate the countrys nonoil export growth. Nigeria gdp annual growth rate 19822019 data 20202022. Looking beyond oil gdp has slowed, driven by lower oil sector growth and a weaker nonoil sector nigerias economy grew by 2.
The basic objective of the study is to examine the contribution of fdi to the performance of non oil export in nigeria, within the framework of elg hypothesis. The inability of the nigerian economy to balance the development of the. Closing its 5year activities in nigeria, it recently held a policy dialogue and an award ceremony, in abuja, with a view to encouraging key plays in the nonoil export sector to sustain the. Nonoil export determinant and economic growth nigeria 19882008 since the introduction of nonoil export in nigeria far before independent which has grown to become the fourth largest exporter in the world with high production level. The basic objective of the study is to examine the contribution of fdi to the performance of nonoil export in nigeria, within the framework of elg hypothesis. An empirical analysis on the relationship between non oil. Empirical analysis from the study suggested that oil export revenue had a positively significant effect on growth both in the shortterm. Empirically, nigerias economy is found to be a resource dependent economy. Diversification of nonoil export product as a precondition. Nexim bank has a range of tools, including credit financing in both local and foreign currencies, riskbearing services in the form of export credit guarantee and export credit insurance facilities, special funds, loans for foreign. A time series econometric model 117 income per capita is better achieved under export promotion policy.
Nonoil exports and economic growth in nigeria by victor. Determinants of nonoil export and economic growth in. Consequently, it has had a checkered growth trajectory driven by the vicissitudes of oil prices. Pdf the nigerian economy has for decades precariously leaned on the fragile leg of crude oil. This page provides nigeria gdp annual growth rate actual values, historical data, forecast, chart, statistics, economic. This paper tries to examine the impact of non oil export on economic growth in nigeria. Economic growth is expected to recover slightly, to above 1 percent in 2017, driven mainly by the restoration of oil production to normal levels 2. The study investigates effect of non oil export on the economic development of nigeria. A study of agricultural and mineral resources exports have been described as catalysts for overall development and increase the earnings of the country thereby creating an avenue for growth by raising the national income of the country.
Pdf determinants of nonoil export and economic growth in. The impact of nonoil export on domestic investment in nigeria. H1 that nonoil export has not contributed significantly to the economic growth of nigeria. Crude oil export has continued to account for over 80% of the total federal government revenue, while the remaining 20% is contributed by nonoil. Nonoil export and economic growth in nigeria 19802011. Determinants of nonoil export and economic growth in nigeria. Dec 29, 2011 drawing from the empirical investigation into the impact of oil export on economic growth in nigeria using rgdp as the dependent variable and labour, capital domestic consumption, oil export and total production as independent variables from 1970 2006, it emerged from the study that there is significant relationship between labour, domestic. This study is prompted by fewness of studies on the impact of energy shocks on economic growth of oilexporting countries like nigeria, unlike studies on oilimporting countries olomola and adejumo, 2006. Obviously, since the post independence era, the growth of nigerias nonoil export has been sluggish falling from. The study examines the significant role of nonoil export on economic growth which the previous studies might have ignored and the aggregate nonoil exports data used by them might bias their conclusions.
This study investigated the role of oil and nonoil exports on the nigerian economy over the period of 1981 to 2015. The result reveals a significant effect of nonoil export on economic growth in both the long and short run. An emerging trend suggests that in the last seven years the. Are there any causal relationships or what are the dynamic interactions among nonoil exports, fdi, and economic growth in nigeria. The study used per capita income as proxy for economic development and expressed it as a function of nonoil export volume, trade. The mono economy nature of nigeria and the need to diversify the economy form part of the motivation for the study. And nonoil export is one major way to do so, awolowo stressed at the nonoil export conference and awards neca organised by policy development facility pdf ii, to mark her closing out after. The nigerian perspective is because the bulk of revenue needed for development purposes is derived from oil. The study used per capita income as proxy for economic development and expressed it as a function of nonoil export volume, trade openness, exchange rate. Pdf this study is motivated by the need to examine the impact of nonoil export to economic growth in nigeria for the period 19812012. Economists have observed that the performance of the nonoil export sector leaves little or nothing to be desired.
The study used per capita income as proxy for economic development and expressed it as a function of non oil export volume, trade. Therefore, it is recommended that government should encourage the promotion of nonoil export through the appropriate economic policy measures. Imperatives of nonoil exports to nigerias economic growth. This study examines the effect of nonoil export on economic growth of nigeria.
The results show that non oil export has a positive impact on economic growth suggesting that policies formulated towards improving the export of non oil commodities in nigeria will directly boost output growth of other sectors such as agriculture, manufacturing, services etc. Using the augmented production function apf and the endogenous growth model egm, onudugo, ikpe, and anowor 20 examined the impact of nonoil exports on economic growth in nigeria using. Nonoil export, economic growth, nigeria, disaggregated analysis. Abstract the essence of this work has been to determine the effect of non oil export on economic growth in nigeria, during the period of 19862010. The paper further seeks to predict the longrun behavioral relationship between industrial production, nonoil exports and economic growth in nigeria using data from 1970 2007. Impact of nonoil export on economic growth in nigeria.
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