EFFECT OF ECONOMIC GLOBALIZATION ON THE GROWTH OF NIGERIA'S MANUFACTURING SECTOR

ABSTRACT Nigeria continues to lag behind global competition, resulting in poor export quality, sluggish foreign direct investment, lack of local patronage for manufactured goods, and increasing domestic investment, among others. The investigation aims to find out how economic globalization has affected the expansion of Nigeria's manufacturing industry. For the years 2002–2022, the CBN Statistical Bulletin articles were utilized as a secondary data source for the present investigation. Granger causality test was performed using E-views 12, and regression analysis was utilized to verify the root and link between constructs. Granger causality showed that, there are few established relationships between economic series. Due to the regression scrutiny, total foreign direct investment income, total exports, and exchange rates showed a positive correlation with gross domestic product, while production capacity utilization rate and trade openness index showed a negative correlation. The study recommends that financial openness in the form of foreign direct investment provides the knowledge and management skills needed to implement new technologies. This has the potential to raise the host nation's human capital level. A robust and efficient financial system can also facilitate the inflow of foreign money into profitable and complementary businesses.

1 28 Jun, 2024

pg: 13

JBMIC PORTAL SYSTEM

Contri. 3+