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Quantitative Analysis of The Problems and Prospects of The Nigerian Industrial Sector in the 21st Century

Salimatu Rufai Mohammed(1),


(1) Umaru Musa Yaradua University Katsina
Corresponding Author

Abstract


The Industrial sector of Nigeria is facing a lot of challenges in the 21st century. This is despite the private sector loan, expenditure on health and education for the development of the sector and openness. The objective of this study is to examine the impact of insecurity and human capital expenditure on the performance of the industrial sector. Auto Regressive Distributed Lag (ARDL) and ECM approach were employed on annual time series data covering 1981-2020. The result shows that human development expenditure and insecurity have a negative effect on the performance of the sector in the short run while human development expenditure, loans to the private sector, and trade openness have a positive effect on the sector's performance in the short run. The study recommends that factors hindering the performance of the industrial sector should be properly addressed by the government and policymakers while factors improving the performance of the sector should be improved and protected to revive the performance of the sector.

Keywords


Industrial sector performance; Trade openness; Expenditure and Insecurity

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