The paradox of allocation and utilisation of oil revenue in Nigeria: the macro-accounting perspective
type: CreativeWork
description: This study examines some of the fundamental issues and questions of governance and development in the Nigeria economy that has been overlooked over the years since the discovery of crude oil in Nigeria, which is, the issues of allocation and utilisation of oil revenue. Crude oil has been an indispensable source of energy and revenue for Nigeria from 1960 to date. It generates the most astounding sum of income to the federal, state and local governments in Nigeria and has made Nigeria to be considered as the largest producer of crude oil in Africa followed by Angola, the seventh in the Organization of Petroleum Exporting Countries (OPEC), and the thirteenth in the world. Conversely, even with the enormous revenues earned from oil activities in the country, its impacts are not reflected in the various stages of developments in the country, unlike Indonesia who maximises its resources and subsequently, increases her per capita income to a point where it grew four times that of Nigeria within few decades. Instead, the oil prosperity has brought stunted socio-economic growth to Nigeria, and this has grown to be a continuous and vital source of worries that need urgent attention. The focus of the study is to appraise the paradox associated with oil revenue, the allocation and utilisation of oil revenue in Nigeria with a definite emphasis on the macro-accounting perspective of the impact on the Nigerian economy from 1981 to 2016. Specifically, the study examines the effects of oil revenue on economic growth, current account balance, external debt, and net foreign assets of Nigeria from 1981 to 2016. In line with the aim and objectives, research questions and hypotheses formulated for the study, the study tends toward the quantitative approach. Hence, the ex-post facto research design and the purposive sampling technique were considered suitable and therefore, adopted for the study. Series of diagnostic tests were conducted on the data, and Autoregressive Distributed Lags (…
abstract: This study examines some of the fundamental issues and questions of governance and development in the Nigeria economy that has been overlooked over the years since the discovery of crude oil in Nigeria, which is, the issues of allocation and utilisation of oil revenue. Crude oil has been an indispensable source of energy and revenue for Nigeria from 1960 to date. It generates the most astounding sum of income to the federal, state and local governments in Nigeria and has made Nigeria to be considered as the largest producer of crude oil in Africa followed by Angola, the seventh in the Organization of Petroleum Exporting Countries (OPEC), and the thirteenth in the world. Conversely, even with the enormous revenues earned from oil activities in the country, its impacts are not reflected in the various stages of developments in the country, unlike Indonesia who maximises its resources and subsequently, increases her per capita income to a point where it grew four times that of Nigeria within few decades. Instead, the oil prosperity has brought stunted socio-economic growth to Nigeria, and this has grown to be a continuous and vital source of worries that need urgent attention. The focus of the study is to appraise the paradox associated with oil revenue, the allocation and utilisation of oil revenue in Nigeria with a definite emphasis on the macro-accounting perspective of the impact on the Nigerian economy from 1981 to 2016. Specifically, the study examines the effects of oil revenue on economic growth, current account balance, external debt, and net foreign assets of Nigeria from 1981 to 2016. In line with the aim and objectives, research questions and hypotheses formulated for the study, the study tends toward the quantitative approach. Hence, the ex-post facto research design and the purposive sampling technique were considered suitable and therefore, adopted for the study. Series of diagnostic tests were conducted on the data, and Autoregressive Distributed Lags (…
author: Samuel, Sunday
language: eng
keywords: Oil revenue, Oil allocation, Oil utilization, ARDL, Nigeria
date published: 2019-4-4
date modified: 2026-07-24T00:50:23Z
provider: Abertay University
publisher: Networked Digital Library of Theses and Dissertations
type: WebPage
source organization: Abertay University