Foreign Direct Investment And Poverty Redution In Nigeria

Abstract

The relationship between Foreign Direct Investment and growth has been realized or discovered by most economist. Foreign direct investment is a strong force which has a positive impact on growth and development through employment generation which leads to increase in income for the people, who in turn save and this is further reinvested into the economy for development and growth. Thus, we experience reduction in poverty. As such, it has to be adequately planned for, if a nation is to experience a reasonable reduction in poverty through growth/development her economy This paper/work has enunciated that it is possible for Nigeria to reduce her poverty level throughout without the right conducive environment, political stability institutional and structural reforms that stimulate foreign direct investment. An equation model was adopted for empirical analysis that embrace the impact of foreign direct investment as GDP per capital as a proxy for measurement of poverty level. The result obtained showed a satisfactory performance of foreign investment on the GDP per capita in the Nigerian economy


Keywords: poverty; reduction; investment; foreign

JORIND Vol. 5 (2) 2007: pp. 12-12