Reading: Foreign Direct Investment (FDI) and Policy Inconsistence in Nigeria (1970-2016)

Download

A- A+
Alt. Display

Research

Foreign Direct Investment (FDI) and Policy Inconsistence in Nigeria (1970-2016)

Authors:

M. Y. Kabara ,

University of Colombo, LK
About M. Y.
Faculty of Graduate Studies
X close

K. Amirthalingam

University of Colombo, LK
About K.
Department of Economics, Faculty of Arts
X close

Abstract

Foreign Direct Investment is the dominant and the most reliable source of deficit financing to nations mostly developing and third world characterized with low investible fund since early 80s. This is against the backdrop that investible funds generated from high saving are a necessary condition for economic growth. However, the all-encompassing determinant of FDI is the consistency in the economic policy especially in the third world and developing economies like Nigeria. It is against this that this study seeks to measure the effect of policy inconsistency on the flow of FDI in Nigeria from 1970 to 2016 using Annual and Cumulative Growth Rate approach. The study revealed that policy inconsistency within the period reviewed has a serious impact on the flow of FDI. In line with this, it was part of the recommendations that Nigerian governments at all levels should reduce the rate of policy change and volatility through the design and pursuance of long term economic and FDI related policies with a strong legislation that they must remain uninterrupted even with a change of political leadership.
How to Cite: Kabara, M. Y., & Amirthalingam, K. (2020). Foreign Direct Investment (FDI) and Policy Inconsistence in Nigeria (1970-2016). Colombo Journal of Multi-disciplinary Research, 5(1-2), 23–40. DOI: http://doi.org/10.4038/cjmr.v5i1-2.53
Published on 28 Dec 2020.
Peer Reviewed

Downloads

  • PDF (EN)

    comments powered by Disqus