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Insurance Development and Economic Growth: An Examination of the Non-Bank Financial Institutions in Nigeria

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  • David Okelue Ugwunta
  • Uche Boniface Ugwuanyi

Abstract

This paper determined the effect of the development of non-bank financial institutions on Nigeria¡¯s economic growth. Time series data, spanning a period of forty-one years, from 1970-2010 obtained from the Central Bank of Nigeria statistical bulletin were tested for stationarity. To measure the relationship and the impact of the explanatory variables on economic growth, the paper adopted a generic regression equation. Results suggest that total trade; investments of the insurance sector in financial asset; and insurance premiums have a high, positive and direct relationship with economic growth. Overall, our findings revealed that the focal variables insurance sector investment in financial assets; and insurance sector premiums significantly contribute to the economic growth of Nigeria.

Suggested Citation

  • David Okelue Ugwunta & Uche Boniface Ugwuanyi, 2019. "Insurance Development and Economic Growth: An Examination of the Non-Bank Financial Institutions in Nigeria," International Journal of Financial Research, International Journal of Financial Research, Sciedu Press, vol. 10(2), pages 16-26, April.
    • Handle: RePEc:jfr:ijfr11:v:10:y:2019:i:2:p:16-26
    DOI: 10.5430/ijfr.v10n2p16
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    References listed on IDEAS

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