Effects of globalization on nigerian economy: case study nitel, enugu.

Description

ABSTRACT

c However, the application of these policies in developing countries such as Nigeria led to an increased level of socio-economic disparity and a stagnated process of national development. This thesis argue that Nigerian institutions are too weak to handle the process of globalisation. Also, the policies set aside to regulate the economy are not strong enough to deal with the demands and standards of globalisation. This study analyses the negative impact of globalisation and its implication on Nigeria’s national development some of which includes unemployment, brain drain syndrome, crippled taxation system and the prescribed policies by international financial institutions. Also, some of the internal challenges mitigating against globalisation were discussed and some feasible solutions were proffered to curb these problems.

TABLE OF CONTENTS

COVER PAGE

TITLE PAGE

APPROVAL PAGE

DEDICATION

ACKNOWELDGEMENT

ABSTRACT

CHAPTER ONE

• INTRODUCTION
• BACKGROUND OF THE STUDY
• PROBLEM STATEMENT
• OBJECTIVE OF THE STUDY
• PURPOSE OF THE STUDY
• RESEARCH QUESTION
• JUSTIFICATION OF THE STUDY
• HYPOTHESES
• CONCEPTUAL AND THEORETICAL FRAMEWORK
• AN OVERVIEW OF GLOBALIZATION IN NIGERIAN ECONOMY
• THE POSITIVE EFFECTS OF GLOBALIZATION ON NIGERIA ECONOMY
• NEGATIVE EFFECTS OF GLOBALIZATION ON NIGERIAN ECONOMY
• WAYS TO ADDRESS THESE CHALLENGES
• CONCLUSION

REFERENCES

CHAPTER ONE

1.0                                                     INTRODUCTION

The concept of globalization increased recently over the years even though it has been in existence, but the attention it is gaining in the world affairs today is extraordinary. Globalization has taken place for centuries from few trade commodities to global production and distribution systems, escalating the world economy to observe the market forces. The features of the current global order are privatization, deregulation of domestic markets opening to competition so much that countries are no more restricted to their national boundaries. The Nigeria economy sphere using the case study for Abuja, is in fact a practical evidence that globalization is pervasive in areas such as, technology and culture. It created immense opportunities for few and the majority is left to determine their destiny.

1.1                                      BACKGROUND OF THE STUDY

Over the years, globalisation has proven to be the most adopted mechanism in dealing with economic development, improving the social welfare of states and strengthening political ties between countries. Globalisation development theory adopts policies such as liberalisation, privatisation, deregulation and capitalism for effective results (Chesnais 2003). However, United Nations Conference on Trade and Development (2015) report shows that globalisation policies are much more favourable to North America, Europe and some part of Asia compared to African countries whose economic, political and social growth has been stunted by some of these policies, hence their failure in benefiting from globalisation.

However, before getting into the real subject of discussion, it is important to understand the concept of globalisation as it has different meanings depending on the context in which it is used. Globalisation as the World Health Organisation (2017) puts it, is “the increased interconnectedness and interdependence of peoples and countries generally understood to include two inter-related elements: the opening of international borders to increasingly fast flows of goods, services, finance, people and ideas; and the changes in institutions and policies at national and international levels that facilitate or promote such flows.”

Nigeria being the giant of Africa has long accepted globalisation as a means to achieving rapid economic development. Paradoxically, with so much natural resources at its disposal, 53.5% of Nigerians were living in absolute poverty (World bank data 2009) and Nigeria’s human development index reportedly ranks 152nd position (United Nations Development programme 2016). Given these figures, coupled with her high unemployment rate, vulnerable economy, bad policies, unhealthy investment climate, high level of indebtedness and corruption, it is clear that Nigeria is one of the most disadvantaged countries engaged in globalisation.

The concept of globalisation is not a new concept in Nigeria. It has always existed and has been embraced in most frameworks of the country. Nigeria has since been engaging in the globalisation process, adopting policies such as disinvestment, privatisation, commercialization and devaluation. However, recent data from the Economic Report on Nigeria (2015) shows that Nigeria has been experiencing slow growth. Some of the reasons for this challenge includes the Naira devaluation which ultimately led to higher cost of purchasing goods and services, structural problems that result in lack of transparency, low oil prices and revenue caused by liquidity, restricted fiscal policies and tighter monetary policies which engenders high interest rates and reduced activity in the capital market.

These problems highlighted above shows globalisation does, in fact, comes with positive as well as negative implications. The focus of this thesis is threefold. First, the study will examine and better understand the impact globalisation has on Nigeria in terms of development. Secondly, the study will investigate some of the challenges preventing Nigeria from benefiting from globalisation. Lastly, this study would proffer solutions and offer recommendations to mitigating these challenges. In other to do this, this study attempt to answer these research questions.

1.2                                            PROBLEM STATEMENT

Under-development persists in Nigeria due to weak institutions and bad governance unable to accommodate the process of globalization

1.3                                           OBJECTIVES OF THE STUDY

The objective of this study is to evaluate the effects of Globalization on the Nigerian economy, the need to stop oil-dependent and to develop and empower other sector of the economy such as the industries, agriculture and mining among others.

1.4                                             PURPOSE OF THE STUDY

The purpose of this thesis is to explore and understand the reasons why the process of globalization is not fully successful in promoting rapid development in Nigeria. There

1.5                                               RESEARCH QUESTION

1. What impact has globalization had on the National development of Nigeria?
2. What are the challenges preventing Nigeria from benefits from globalization?
3. What are the possible ways of addressing these challenges?
4. How does globalization affect the Nigerian economy (NITEL, Enugu?)

1.6                                           JUSTIFICATION OF STUDY

Globalisation is one of the most controversial issues in international relations. Few scholars have tried to attribute the problems of Nigeria national development to globalization without also considering the internal challenges hindering Nigeria from benefiting from the dividends of globalization. This study seeks not only to highlight the challenges Nigeria’s national development has due to globalization, it also tries to identify the internal challenges in Nigeria militating against her growth and development. In addition, this study would give feasible solutions that could be adopted to solve these problems.

1.7                                                        HYPOTHESES

Rapid exchange in technology, a much more globally connected economy and the influence of westernized culture all due to globalization affects the Nigerian (Using NITEL, Enugu as a case study) economy both positively and negatively.