International Remittances and Economic Growth of Nigeria (original) (raw)

2020, AE-FUNAI JOURNAL OF ACCOUNTING, BUSINESS AND FINANCE(FJABAF)

The paper investigated the effect of international remittances on the economic growth of Nigeria for the period covering 1986 to 2017. In analyzing the data collected the ARDL approach to cointegration and VECM was adopted to determine the long run and short-run relationships among economic growth, remittances, gross domestic investment, Interest rate, and inflation rate. Findings indicated that in the long run remittances, human capital, and inflation rate had a positive effect while GDI and interest rate had a negative effect on the economic growth of Nigeria. In the short run remittances, human capital, GDI, and inflation rate had a positive effect while interest rate had a negative effect on the economic growth of Nigeria. In view of the findings the study amongst others recommend that Government should put in place facilities and incentives that will make remittances cheaper using the formal channel, also the introduction of new savings instruments as well as providing information on investible opportunities available in Nigeria will ensure remittance are put into productive use. The creation and functioning of the Migrants and Diaspora Office domiciled in the Ministry of Foreign Affairs will serve as a fulcrum in stepping up remittances.

Sign up for access to the world's latest research.

checkGet notified about relevant papers

checkSave papers to use in your research

checkJoin the discussion with peers

checkTrack your impact