European Journal of Accounting, Finance and Investment

The Effect Of Economic Growth On Povertyreduction In Nigeria

Ihenetu Hyginus Iheanyi

Department of Banking and Finance, Captain ElechiAmadi Polytechnic Rumuola, Port Harcourt

Iwo Sotonye

Department of Accountancy, Captain ElechiAmadi Polytechnic Rumuola, Port Harcourt

Keywords: Poverty index, Gross domestic product, Gross national product, Per capita income, EFFECT OF ECONOMIC GROWTH, POVERTYREDUCTION IN NIGERIA

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Abstract

The paper evaluated the effect of economic growth on poverty reduction in Nigeria. Data were collected from CBN statistical bulletin and World Bank for twenty five (25) years. Ordinary least square regression was used to analyze the data after stationarizing it through Augumented Dicky Fuller (ADF) unit root test. The findings showed that gross domestic product (GDP), gross national product (GNP) and percapita income (PCI) has no significant effect on poverty reduction in Nigeria. Based on the findings, we therefore recommend that there should be creation of jobs for unemployed, some amount of money paid to the uneployed on monthly basis, free health facilities for the infants and the aged, free education to the disabled and poor people in Nigeria to better the life, wealthy people should invest in our country to avoid capital flight, all the abandon manufacturing and productive industries should be fixed, investment in agriculture should be given priority to ensure mass employment etc.