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VOL. 8, ISSUE 4 (2022)
Financial intermediation and economic growth in Nigeria
Authors
Anthony Abraham
Abstract
This work focuses on financial intermediation and how it can transmit to economic growth in Nigeria. The study uses data of financial intermediation to the agricultural, manufacturing, service sector to the economy as a medium enhance economic growth within the period, 1980-2021.The study employed unit root, co-integration and error correction mechanism as techniques of analysis. The result of unit root indicates that Augmented Dickey Fuller (ADF) shows that it is integrated of order one. The co-integration test conducted indicates that both the Trace and Max-Eigen statistics has two Co-integrating variables. Finally, the ECM (-1) is negatively signed and designates that the speed of adjustment from the short run dynamics to its long run equilibrium. The ECM (-1) value -0.603324 or 60 per cent and is internally consistent at 5 per cent. The study concludes that reasonable amount should be channelled into the various sectors examined to boost the economy of Nigeria and lessen the dependence on oil. The study recommends that government should channel funds into these sectors to enhance the economy as a whole.
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Pages:103-110
How to cite this article:
Anthony Abraham "Financial intermediation and economic growth in Nigeria". International Journal of Humanities and Social Science Research, Vol 8, Issue 4, 2022, Pages 103-110
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