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Research Article Open Access

Is There Any Relationship Between Agricultural Performance and Inclusive Growth Iin Nigeria

Abstract

In examining the initial role of the Agricultural sector in Nigeria, the sector is seen to be an indispensable sector in establishing the framework for the nation’s economic growth. Hence, increased agricultural production is expected to be a core pre-requisite for rapid economic growth in a developing nation like Nigeria. Efforts by the successive governments to sustain the country’s agricultural sector are evident in various yearly allocations to this sector with respect to lending and budgetary provisions. However, the issue of concern is, why has the increase in government financing of the agricultural sector not translated into the expected increase in agricultural inclusive growth. It is therefore, worthy of note that the neglect of this sector overtime has brought about an increase in rural poverty, migration, hunger and crimes, in the last few years of our economic growth. Hence, this study assesses the impact of agricultural performance on inclusive growth in Nigeria. Using Johansen Co-integration test and fully-Modified Ordinary Least Square. The study found a long run relationship among the variables of interest, while agricultural financing exact more long run effect on per capita income (economic inclusive growth indicator). This paper concludes that, government should invest more in activities that promotes agricultural gains and leads to pro-poor growth, in addition to broadly aligning agricultural spending, in order to stimulate qualitative growth in the sector by giving regular financial support to farmers. Such support however, must be monitored and periodically reviewed in order to access its effectiveness and prevent misallocation of funds.

Agene Deborah, Adediran Oluwasogo S, Urhie Ese, Olaifa Eseoghene

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