A Mismatch between External Debt Finances and Consumption Cost in Nigeria
| Autor: | Ben-Caleb Egbide, Joseph Ugochukwu Madugba, Benjamin Ighodalo Ehikioya, Cordelia Onyinyechi Omodero |
|---|---|
| Jazyk: | angličtina |
| Rok vydání: | 2020 |
| Předmět: |
lcsh:Management. Industrial management
Sociology and Political Science Economic policy media_common.quotation_subject Infant industry argument Development lcsh:Business exchange rate Goods and services Debt 0502 economics and business ddc:650 050207 economics external debt media_common Consumption (economics) Government 050208 finance Poverty 05 social sciences External debt consumption cost debt serving lcsh:HD28-70 finances Business Cost of living lcsh:HF5001-6182 General Economics Econometrics and Finance |
| Zdroj: | Journal of Open Innovation: Technology, Market, and Complexity Volume 6 Issue 3 Journal of Open Innovation: Technology, Market and Complexity, Vol 6, Iss 58, p 58 (2020) |
| ISSN: | 2199-8531 |
| DOI: | 10.3390/joitmc6030058 |
| Popis: | This study scrutinizes the influence of external obligation on the cost of living in Nigeria. In recent times, Nigeria has been tagged as the headquarters of world poverty due to the unaffordable cost of living that has resulted in all manner of crimes prevailing in the country. However, the role of foreign loans being contracted by the government in reducing consumption cost has become a concern, hence this investigation. This study made use of a secondary form of statistical records covering the period 2000&ndash 2018. The result of the data analysis has shown that external debt does not improve consumption cost, but rather aids the rising cost of living in Nigeria. In a nutshell, the study suggests that the government should invest a large chunk of the borrowed funds into agriculture and local manufacturing for sufficient food supply and provision of goods and services at reasonable costs. This study recommends support for infant industries and entrepreneurship to reduce the consumption cost in the country. The study also encourages the government to seek debt rearrangement or outright revocation by the lending institutions and countries. |
| Databáze: | OpenAIRE |
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