Nigerian Economy

The latter half of the 20th century saw a seismic shift in global economic thought. Neoliberalism, championing free markets, privatization, and minimal state intervention, gained traction, particularly within powerful international financial institutions like the International Monetary Fund (IMF).¹ These institutions became instrumental in propagating and implementing these policies, especially in developing countries grappling with economic vulnerabilities.² Nigeria, a nation endowed with vast human and natural resources yet plagued by persistent economic challenges, found itself at the crossroads of this global economic order, becoming a focal point for the IMF's interventionist approach.

This study examines the impact of stock market on the Nigeria economy from 1990 to 2023. The research investigates the relationships between key stock market indicators; market capitalization, all share index, monetary policy rate, inflation rate, and gross fixed capital formation and economic growth, measured by GDP. Using the Autoregressive Distributed Lag (ARDL) model, the study explores both the short-run and long-run dynamics among these variables. Empirical findings reveal a significant long-run relationship between stock market performance and economic growth in Nigeria. Market capitalization and the all-share index exhibit strong positive effects on GDP, indicating that stock market expansion fosters capital mobilization, investment, and overall productivity. Institutional quality variables, such as civil and political rights, also influence growth by promoting governance stability and investor confidence. Inflation demonstrates a mild positive effect, while the monetary policy rate shows an insignificant impact on growth. The short-run results indicate that moderate inflation and improvements in institutional conditions support temporary economic expansion, while persistent inflation constrains growth. Diagnostic tests confirm the robustness and reliability of the model, showing no issues of serial correlation or heteroskedasticity. The study concludes that stock market development is a critical catalyst for Nigeria’s economic growth and recommends policy reforms that enhance market efficiency, strengthen institutional frameworks, and encourage long-term investment participation.

The study empirically examined the relationship between bank lending and the growth of the Nigerian economy for the period 1992 to 2021. The ordinary least squares (OLS) estimation technique was employed in the empirical analysis of data. The result from the analysis revealed that, credit to private sector (CPRIV) has significant positive relationship with economic growth in Nigeria; credit to public sector (CPUB) has an insignificant negative relationship with economic growth; while inflation rate (INFL) has a weak negative effect on economic growth, and this suggests that it does not play any significant role in the growth and development of the Nigerian economy. Those of exchange rate (EXCR) has significant positive effect on the growth and development of the Nigerian economy. The study recommends that, credit to private sector should be given more priority if the economy would grow as expected because, through the private sector the real sector of the economy which is central to the economy are directly affected. Failure to do this will only spell doom to the Nigerian economy. Also, there is need to review lending policy on a continuous basis with respect to interest rate with a view to ensuring that the level and structure of interest rates are adequate and consistent with policy objectives of making lending more accessible to private and public sectors of the economy.

This study examines the effect of Boko Haram terrorism on the Nigerian economy. Boko Haram insurgency, which has persisted primarily in the northeastern region of Nigeria, has resulted in widespread insecurity, loss of lives, destruction of property, and disruption of economic activities. The insurgency has negatively impacted key sectors of the economy, including agriculture, trade, education, and infrastructure, thereby hindering national development and reducing investor confidence. The study adopts a descriptive survey research design and relies on both primary and secondary data sources. Primary data were collected through structured questionnaires administered to affected communities, business owners, and local government officials, while secondary data were obtained from journals, reports from the National Bureau of Statistics (NBS), the Central Bank of Nigeria (CBN), and publications on national security. Data were analyzed using statistical methods to determine the economic consequences of the Boko Haram insurgency. The findings reveal that Boko Haram terrorism has significantly disrupted economic activities, reduced agricultural production, increased unemployment, discouraged foreign and local investments, and contributed to the diversion of government funds from development projects to security expenditures. The study concludes that terrorism poses a severe threat to Nigeria’s economic growth and stability. It recommends the implementation of stronger security measures, socio-economic development programs in affected regions, and effective counter-insurgency strategies to mitigate the adverse economic effects of terrorism.