| Popis: |
The study was designed to examine the relationship between Federally generated revenue and government capital expenditure in Nigeria. This study adopted ex-post facto research design. It uses annual time series data extracted from the statistics bulletin, public finance statistics, and the Federal Inland Revenue Service's Planning, Research, and Statistics Department. The data covered from 2010 -2020. For the data analysis, the study uses descriptive statistics as well as statistical correlations analysis where capital expenditure as the dependent variable, value added tax, federal allocation account and petroleum profit tax as independent variables. The result therefore, revealed that value added tax and capital spending in Nigeria over the period is positively weak and non-significant. Another one revealed that the relationship between federal account allocation and Nigeria's Capital Expenditure during the time is positively weak and non-significant as well Petroleum profit tax has no meaningful impact on Nigerian government capital expenditure. The study recommends that federal government should increase the strength of tax employee and monitor closely their activities of value added tax collectors to ensure that money budgeted are met. In order to strengthen Nigeria's infrastructure, the government should utilize at least reasonable portion of VAT collection. Secondly in order to accomplish economic advancement, the federal government should allocate more of its resources to capital expenditures in order to grow macroeconomic goals within its system of government. Finally, federal government should consider it necessarily to allocate high petroleum profit tax revenue to expand infrastructure in Nigeria. |
