INFRASTRUCTURAL FINANCING AND NATIONAL DEVELOPMENT IN NIGERIA 1999-2020: ANY NEXUS?

Abstract

Infrastructural financing and its possible implications on the socio-economic well-being of the citizens have become a major concern among policy analysts and economists in recent years. This research work examined the infrastructural financing pattern of Nigeria over a decade of her return to the fourth republic and its implications on her national development. The study utilized time series secondary data sourced from Central Bank Statistical Bulletin and World Development Indicators. The data was analyzed using ordinary linear square (OLS) and furthered with the nonlinear connection among the variables using the system GMM. The final analysis before the diagnostic test was the robustness check using the GLS to confirm the validity of the results obtained with system GMM. The result showed that growth in road construction, education expenditure, health expenditure, administration expenditure, social expenditure, and economic services could account for approximately a 65% fall in the unemployment rate. The study established that infrastructure finance in respect of road, health, education, administration social and economic services of government could be used to reduce unemployment and poverty levels and engender overall national development of Nigeria. The implication, therefore, is that the quantum of economic growth which propels national development could be raised by infrastructure finance in Nigeria.  It was recommended that there is a strong need for the government to develop a well-structured framework for a sustainable infrastructural development financing plan to engender desirable growth and development.