Full Project – Determinants Of Investment In Nigeria
Click here to Get this Complete Project Chapter 1-5
In recent times, there has been growing concern about the rising but volatile rate of investments in Nigeria. Thus concern stem from the fact that investment plays a dominant role in stimulating growth. The study buttress on the overview and empirical analyses into the determinant of investment in Nigeria in other to achieve the objective hypotheses which was stated with the purpose of achieving current and future stable and upswing of investment by readdressing problems of investment, as highlighted in the statement of problem. The study used investment as dependent variable and interest rate, inflation, foreign direct investment, degree of trade openness, gross domestic product, and money supply as independent variable. In analyzing the data, economic model of multiple regression using ordinary least square (OLS) techniques was employed. t- test was conducted to evaluate the significant of independent variables in the model not statistically significant at 5 percent level. Auto correlation and heteroscedaticity test were employed as the second order test.
8
TABLE OF CONTENTS
Title Page i
Approval Page ii
Dedication iii
Acknowledgment iv
Abstract v
CHAPTER ONE: INTRODUCTION
1.1
Background of study
1
1.2
Statement of the problem
6
1.3
Research Question
8
1.4
Objective of the Study
8
1.5
Statement of Hypothesis
8
1.6
Significance of the Study
8
1.7 Scope / Limitation of the Study
CHAPTER TWO: LITERATURE REVIEW
2.1
Literatures Review
10
2.2
Empirical Literatures
24
2.3
Limitations of Previous Studies
32
CHAPTER THREE: Research Methodology 34
9
3.2
Model Specification
34
3.3
Multiple Regressions
35
3.4
Method of Evaluation
36
3.5
Data and Software Packages
37
CHAPTER FOUR: PRESENTATION AND ANALYSIS
OF RESULT
4.1
Presentation of Regression result
38
4.2
Analysis of the Regression result
39
4.3
Evaluation based on statistical Criteria
41
CHAPTER FIVE: SUMMERY, CONCLUSION AND
RECOMMENDATION
5.1
Summary of Findings
46
5.2
Recommendation
46
5.3
Conclusion
47
BIBLIOGRAPHY
49
JOURNALS
50
10
CHAPTER ONE
INTRODUCTION
1.1 Background of the Study
The Nigeria economy has witness a slow pace growth of less
5 percent in the decades. Various reasons have been advanced to this development but the most apparent have been poor investment climate in the economy and this has been attributed to the low available investable funds.
The stimulation of sustained economy growth requires a balance investment in physical and financial assets human and social capital as well as natural and environmental capitals.
Nigeria has been classified as low saving and even lower investment economy (Ajakaiye 2002) one of the principal objectives of the Nigerian government under the 1999 democratic dispensation is fostering of sustained economic growth. Over the years, the government has been in the driver’sseatingrowth the government economy. But lessons of experience have shown that government cannot regulate the economy effectively. A typical example has been the shift under the National economic empowerment and development strategy (NEEDS) which has recommended the need to
11
restructure and deepen the financial system. Some economist like Mc Kinnon and Shaw (1973) said that rising investment alone is not sufficient enough to bring about growth and the role of financial institutions is very vital. In particular the new express of that the role of capacity fund is very critical to the success of any endeavor (World Bank 1998). In this regards, it is therefore important to investment the determinants to investment in economy in the past three decades.
Banking sub sector in Nigeria has remained foreign in rural areas. But recently the establishment of community banks (now micro finance banks) has been, to
Deepen their operation in rural areas. These banks with government assistance give loans and mobilize savings from rural areas for further investment in Nigeria.
In addition government have tried to provide necessary infrastructure in rural areas reduce the rate of rural- urban migration for the purpose of compelling the rural population to take agriculture to grater height as it was in past 38 years, however, the diversification of the various sectors of the economy has been the
12
main objective of the government. This is to increase employment which will increase income and saving for investment.
But the process so far have not been adequate because of political instability and police inconsistence which range from corruption of political administrators and negative effects of transitional government.
Diversification of different key sectors of the economy like agriculture and industry increase employment, incomes, consumptions, savings demand and generally, aggregate investment level that will broaden and Deeping the society standard of living. But dismissal growth record in most African countries relatives to other region of the world has been of concern to economist. (World bank, 1998).
This is because the growth rate registered in most African countries including Nigeria is often not commensurate with the level of investment.
In Nigeria for instance, the economy witnessed tremendous growth in the early and late 1970(World Bank) as a result of the oil boom.
This increased investment especially in the public sector, but with the collapse of the oil market prices in the early and mid-1980s
13
investment fill, thereby causing a fall in economic growth. For example, during the investment boom, gross investment as a percentage of GDP was 16.8% and 31.4% in 1974 and 1976 respectively ,where as it decline to 9.5 and 8.7 percent in 1984 and 1985 due to the depression (world bank).
Although the rise in oil prices during the 1990-1991 periods was supposed to spark off an investment but that was not the case in Nigeria. The Nigeria military government for instance was inexperience in formulating economy policies and thus,left that task to bureaucracy (Idoko 1996). The unit was that investment decisions which were undertaken with great decline, the government in 1986 adopted IMF World Bank structural adjustment programmer (SAP) with a view in providing stable macro-economic and investment environment.
To this end interest rate that were previously fixed and negative in real terms were replaced by an interest rate regime which is driven by market force. The policy shift de-emphasized direct investment stimulation through low interest rate and encourages savings mobilization by decontrolling interest rate (World Bank 1996). Consequently, the objective of enhanced investment and
14
output growth was not realized as the countries investment failed to erase to anything near the level it has reached in the 1970s.
Although successive government has implemented policies and strategies raising the level of savings and investments, this policy so far has been erratic as a result of the recent change in government as a result of political instability.
In addition, the experience of East Asia countries suggested that an investment rate of between 20 and 25 percent could endanger growth rate of between 7 and 8 percent. Strategically evidence reveals that output represented as the GDP in Nigeria shows a picture growth after the civil war, following the oil boom of the 1970 such that growth rate stood at 21.3% in 1971(Bage 2003).
Therefore, for Nigeria to register increase in growth and development there is need to increase the private investment that will lead to higher growth, as was the case of Asian countries.
Finally an analysis of domestic investment require a simultaneous link to GDP as aggregate factor interest rate and other unique variables that reacts to fluctuations in investment like debt ratio, business environment real exchange rate government expenditure and provision of infrastructure etc.
15
1.1 Statement of the Problems
Domestic investment in Nigeria has been constrained by
numerous factors.
These factors range from the following:
Low capital stock: investment can never be successful if the capitalis low
The poor level of capital stock has been as a result of poverty which decreases domestic saving resulting from decline in real pre-capital inadequate infrastr
Get the Complete Project
This is a premium project material and the complete research project plus questionnaires and references can be gotten at an affordable rate of N3,000 for Nigerian clients and $8 for International clients.
Click here to Get this Complete Project Chapter 1-5
You can also check other Research Project here:
- Accounting Research Project
- Adult Education
- Agricultural Science
- Banking & Finance
- Biblical Theology & CRS
- Biblical Theology and CRS
- Biology Education
- Business Administration
- Computer Engineering Project
- Computer Science 2
- Criminology Research Project
- Early Childhood Education
- Economic Education
- Education Research Project
- Educational Administration and Planning Research Project
- English
- English Education
- Entrepreneurship
- Environmental Sciences Research Project
- Guidance and Counselling Research Project
- History Education
- Human Kinetics and Health Education
- Management
- Maritime and Transportation
- Marketing
- Marketing Research Project 2
- Mass Communication
- Mathematics Education
- Medical Biochemistry Project
- Organizational Behaviour
- Other Projects
- Political Science
- Psychology
- Public Administration
- Public Health Research Project
- More Research Project
- Transportation Management
- Nursing
Need a Project Writer for a Different Topic
- MSC PROJECT WRITING SERVICES
- MBA RESEARCH PROJECT WRITING SERVICES
- Research Project Writing Services in Lagos Nigeria (Professional Writers) -Law, MSc, MBA,PhD, Dissertations, Thesis, Assignment, Speech
- Masters Research Project Writer in Lagos Nigeria
- MBA Research Project Writer in Lagos Nigeria
- LOOKING FOR A WRITING SERVICES FOR AN URGENT ASSIGNMENTS OR PROJECT WORK
- PROFESSIONAL WRITING SERVICES IN LAGOS NIGERIA (TERM PAPER, SPEECH WRITING, ASSIGNMENT, THESES, DISSERTATIONS, RESEARCH PROPOSAL, PROJECT WRITING SERVICES etc)
- BUSINESS ADMINISTRATION RESEARCH PROJECT WRITER IN LAGOS NIGERIA
- CONSULT A RESEARCH PROJECT WRITER IN LAGOS NIGERIA (PH.D, MBA, MSC, M.ED, BSC)
- MANAGEMENT RESEARCH PROJECT WRITER IN LAGOS NIGERIA
- Education Research Project Writer in Lagos Nigeria
- Environmental Sciences Research Project Writer in Lagos Nigeria
- Guidance and Counselling Research Project Writer in Lagos Nigeria
- Human Kinetics and Health Education Project Writer in Lagos Nigeria
- Early Childhood Education Research Project Writer in Lagos Nigeria
- Christian Religious Studies(CRS) Research Project Writer in Lagos Nigeria
- Educational Administration and Planning Research Project Writer in Lagos Nigeria
- Political Science Research Project Writer in Lagos Nigeria
- Accounting Research Project Writer in Lagos Nigeria
- Economics Research Project Writer in Lagos Nigeria
- Management Research Project Writer in Lagos Nigeria
- Marketing Research Project Writer in Lagos Nigeria
- Public Administration Research Project Writer in Lagos Nigeria
- MBA Research Project Analysts
- In Need of MBA Research Project Writer in Nigeria
- MBA Dissertation Research Project Writer
- MBA Project writer
- EDUCATION DEPARTMENT PROJECT WRITING SERVICES
- BACHELOR OF SCIENCE (BSC) DEGREE PROJECT WRITING SERVICES(B.ED,B.A,B.SC)
- Early Childhood Education Research
- MASTER OF BUSINESS ADMINISTRATION (MBA) RESEARCH PROJECT WRITING SERVICES
- MASTER OF SCIENCE (MSC) RESEARCH PROJECT WRITING SERVICES
- POST GRADUATE RESEARCH PROJECT WRITER
- POST GRADUATE DIPLOMA (PGD) RESEARCH PROJECT WRITER
- MASTER RESEARCH PROJECT WRITER
- MASTER DEGREE RESEARCH PROJECT WRITING SERVICES
- POSTGRADUATE RESEARCH PROJECT WRITING SERVICES
- MASTERS RESEARCH PROJECT WRITING SERVICES
- RESEARCH PROJECT WRITER
- EXPERT IN RESEARCH PROJECT/THESIS/DISSERTATION WRITING SERVICES IN LAGOS NIGERIA
- HIRE A PROFESSIONAL BSC/HND RESEARCH PROJECT WRITER
- HIRE A PROFESSIONAL MBA/MSC RESEARCH PROJECT WRITER
- HIRE A PROFESSIONAL THESIS WRITER IN LAGOS NIGERIA
- SC/M.SC/MBA/PGD RESEARCH PROJECT WRITER IN LAGOS NIGERIA
- Master Degree Research Project Specialist/Writer in Lagos, Nigeria
- Hire A Research Project Writer in Lagos Nigeria
- Research Project Specialist in Lagos, Nigeria
Full Project – Determinants Of Investment In Nigeria