Record Details

Remittances and the Growth of the Nigerian Economy

The Ethiopian Journal of Business and Economics

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Field Value
 
Title Remittances and the Growth of the Nigerian Economy
 
Creator Loto, Margaret Abiola
Alao, Ajibola Akinyemi
 
Subject Remittances; Migrants’ remittance; Workers’ remittance; economic growth
 
Description The study investigated the contributions of foreign remittances on economic growth in Nigeria from 1980 to 2016, using the Vector error correction modelling (VECM) technique to analyze the long run and short run impact of disaggregated remittances that is Migrants ’Remittances and Workers’ Remittances to find out whether they will perform differently in relation to economic growth in Nigeria. The two components of remittances performed differently. While the Migrants remittance component exhibits a long run positive, statistically significant relationship with economic growth, the othercomponent i.e Workers Remittance has a negative statistically significant impact in the long run, short run relationship was also established among the variables as the ECM term was negative and statistically significant. The results showed a unidirectional causality from GDP per capita to Migrants remittances while no causality was found between workers’ remittances and gross domestic product per capita. The study therefore recommends the need to strategically harness the contribution of workers’ remittances by ensuring that the money is spent on locally produced goods instead ofimported goods so as to ensure a positive relationship with economic growth in Nigeria. The study hereby concludes that remittance is a major driver of economic growth in Nigeria.
 
Publisher College of Business and Economics, Addis Ababa University
 
Contributor —
 
Date 2019-03-25
 
Type info:eu-repo/semantics/article
info:eu-repo/semantics/publishedVersion
Peer-reviewed Article
 
Format application/pdf
 
Identifier https://www.ajol.info/index.php/ejbe/article/view/184942
10.4314/ejbe.v6i2.4
 
Source Ethiopian Journal of Business and Economics (The); Vol 6, No 2 (2016); 209-232
2410-2393
2311-9772
 
Language eng
 
Relation https://www.ajol.info/index.php/ejbe/article/view/184942/174279
 
Rights This content is licensed under Attribution-NonCommercial-NoDerivs CC BY-NC-ND.