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Infrastructure and Manufacturing Sector Performance in Nigeria

Author

Listed:
  • Ihuoma Chikulirim Eke

    (Department of Economics, University of Calabar, Calabar, Nigeria)

  • Felix Awara Eke

    (Department of Economics, University of Calabar, Calabar, Nigeria)

  • Awara Emeng Edom

    (Department of Economics, University of Calabar, Calabar, Nigeria)

Abstract

The objective of this study was to investigate the effect of infrastructure (electricity consumption and paved roads) on manufacturing sector performance in Nigeria for the period 1981-2019. The ex post facto research design was adopted for the study, using a combination of the traditional Ordinary Least Squares (OLS) econometric method, and the Augmented Dickey-Fuller unit root test for robust and valid estimation results. The co-integration test showed that the equations in the model were integrated. The study findings revealed that infrastructure, proxy by electricity supply had an adverse but not significant effect on manufacturing sector performance while paved roads had a positive and significant impact on manufacturing performance in Nigeria. The study recommends a total overhaul of the electricity sub-sector and targets increased supply specifically for industrial consumption as well as exploring alternative options to increase the road network such as public-private partnership arrangements given its importance to industrial performance.

Suggested Citation

  • Ihuoma Chikulirim Eke & Felix Awara Eke & Awara Emeng Edom, 2023. "Infrastructure and Manufacturing Sector Performance in Nigeria," International Journal of Research and Scientific Innovation, International Journal of Research and Scientific Innovation (IJRSI), vol. 10(7), pages 130-139, July.
    • Handle: RePEc:bjc:journl:v:10:y:2023:i:7:p:130-139
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    References listed on IDEAS

    as
    1. Moyo, Busani, 2013. "Power infrastructure quality and manufacturing productivity in Africa: A firm level analysis," Energy Policy, Elsevier, vol. 61(C), pages 1063-1070.
    2. John C. Anyanwu, 2017. "Manufacturing Value Added Development in North Africa: Analysis of Key Drivers," Asian Development Policy Review, Asian Economic and Social Society, vol. 5(4), pages 281-298.
    3. Appiah-Otoo, Isaac & Song, Na, 2021. "The impact of ICT on economic growth-Comparing rich and poor countries," Telecommunications Policy, Elsevier, vol. 45(2).
    4. John Bosco Nnyanzi & Susan Kavuma & John Sseruyange & Aisha Nanyiti, 2022. "The manufacturing output effects of infrastructure development, liberalization and governance: evidence from Sub-Saharan Africa," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 49(2), pages 369-400, June.
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    Cited by:

    1. Alula Anthonia Uyo & Ihuoma Anthony & Modestus Nsonwu, 2024. "Effect of Deposit Money Bank’s Credit on Manufacturing Sector Output in Nigeria," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 8(12), pages 3528-3545, December.

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