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Financial Openness and Poverty Level: The Empirical Investigation in Nigeria

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  • Oluwayemisi Kadijat ADELEKE

    (Department of Economics, Redeemer’s University, Ede, Osun State, Nigeria)

  • Omowunmi Monisola AJEIGBE

    (Department of Economics, Redeemer’s University, Ede, Osun State, Nigeria)

Abstract

This study examined the effect of financial openness on poverty level in Nigeria from 1981 to 2018, using Autoregressive Distributed Lag (ARDL) technique. The study found that the lagged value of poverty has a positive and significant relationship with itself. This buttresses the point that poverty in the previous period’s filters directly into the present period. Again, the study found that financial deepening has an inverse and significant effect on poverty, while financial openness was found to have a positive and significant impact on poverty. Finally, the lagged value of growth rate, investment, inflation and institutional quality has an inverse and significant effect on poverty.

Suggested Citation

  • Oluwayemisi Kadijat ADELEKE & Omowunmi Monisola AJEIGBE, 2021. "Financial Openness and Poverty Level: The Empirical Investigation in Nigeria," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 5(2), pages 158-164, February.
    • Handle: RePEc:bcp:journl:v:5:y:2021:i:2:p:158-164
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    References listed on IDEAS

    as
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    3. Paolo Figini & Enrico SantarelliAuthor-Workplace-Name: University of Bologna, Italy, 2006. "Openness, Economic Reforms, and Poverty: Globalization in Developing Countries," Journal of Developing Areas, Tennessee State University, College of Business, vol. 39(2), pages 129-151, January-M.
    4. Philip Arestis & Asena Caner, 2009. "Financial liberalization and the geography of poverty," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 2(2), pages 229-244.
    5. Yaya Keho, 2017. "Financial Development and Poverty Reduction: Evidence from Selected African Countries," International Journal of Financial Research, International Journal of Financial Research, Sciedu Press, vol. 8(4), pages 90-98, October.
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