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논문 기본 정보

저자정보
(Adekunle Ajasin University)
저널정보
한국외국어대학교 아프리카연구소 Asian Journal of African Studies Asian Journal of African Studies Vol.51
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    초록·키워드

    The study investigated the effects of foreign capital inflows on manufacturing sector output in Nigeria. Time series data were used for the study and they were sourced from the Central Bank of Nigeria Statistical Bulletins 2018 and World Bank Indicators which spanned between 1986 to 2017. In order to achieve the objective of the study, the study employed the Autoregressive Distributive Lag (ARDL) bounds testing approach to establish the long-run relationship between the relevant time series data. The unit root test employed suggested that, all the variables were found to be either I(0) or I(1) levels of stationary. The Lag length criterion was one, the bound test was conducted which revealed an existence of long run relationship among the variables. The study found that a unit rise in foreign direct investment and foreign portfolio investment increases manufacturing output by 29% and 15%, credit to manufacturing sector signed positive but insignificant to manufacturing output in Nigeria. Development assistance and external debt have an inverse relationship with manufacturing output in the long-run model. External debt has a significant negative effect on manufacturing output while development assistance signed positive but insignificant on the manufacturing sector output in the short run. Therefore, the study recommended among others a proactive step to expand market capitalization which is the major driver of foreign portfolio investment and formulate policies to attract foreign capital inflow to improve manufacturing output in Nigeria.

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