IDEAS home Printed from https://ideas.repec.org/p/hal/journl/hal-04270574.html
   My bibliography  Save this paper

Gross Capital Formation, Infrastructure and Economic Development in Nigeria

Author

Listed:
  • Adegboyega Samson Opadeji

    (DUI - Dominion University, Ibadan)

  • Oladimeji Abeeb Olaniyi

    (OOU - Department of Economics, Olabisi Onabanjo University Ago Iwoye Ogun State)

  • Adewale Mathew Adekanmbi

    (Department of economics, Olabisi Onabanjo University Ago Iwoye Ogun State)

  • Joseph Oluremi Olubitan

    (Dominion University, Ibadan.)

Abstract

In Nigeria, the extent to which the decline in capital formation as well as the dismal and disrepair state of most infrastructural facilities impair the growth potentials of the nation are relatively unknown. Given this, this study utilized the Johansen co-integration technique and the Vector Error Correction Model (VECM) to examine the impact of gross capital formation and infrastructure on economic development in Nigeria from 1991 to 2021. The findings of the co-integration analysis revealed the existence of a long-run relationship among the variables while the Vector Error Correction Model (VECM) indicated that gross capital formation did not exert a statistically significant effect on economic development in Nigeria within the study period. However, it was observed that infrastructure had a significant positive effect on the development of the economy. Based on the findings, the study recommended a collaborative effort between the government and private sectors to establish a conducive environment that promotes capital investments within the country. Also, capital formation should be efficiently utilized with a sizable amount accorded to infrastructural development which in turn translates to economic development.

Suggested Citation

  • Adegboyega Samson Opadeji & Oladimeji Abeeb Olaniyi & Adewale Mathew Adekanmbi & Joseph Oluremi Olubitan, 2023. "Gross Capital Formation, Infrastructure and Economic Development in Nigeria," Post-Print hal-04270574, HAL.
    • Handle: RePEc:hal:journl:hal-04270574
    DOI: 10.9734/ajeba/2023/v23i221152
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hal:journl:hal-04270574. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: CCSD (email available below). General contact details of provider: https://hal.archives-ouvertes.fr/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.