Thesis Abstract

Abstract
This research project aims to investigate the effect of external development on Nigeria's economic growth from 1989 to 2010. Nigeria, as a developing country, has been significantly influenced by external factors such as foreign aid, foreign direct investment (FDI), and international trade during this period. The study will utilize quantitative data analysis methods to examine the relationship between external development and economic growth in Nigeria. The research will focus on the period from 1989 to 2010 to capture the economic trends and changes that have occurred in Nigeria over more than two decades. By analyzing data on foreign aid inflows, FDI trends, and trade patterns during this period, the study aims to identify the impact of external development on key economic indicators such as GDP growth, employment rates, and poverty levels in Nigeria. The research will also consider the potential challenges and opportunities associated with external development in Nigeria. By examining how external factors have influenced the country's economic policies, industrial development, and overall growth trajectory, the study will provide insights into the complex relationship between external development and domestic economic performance. Overall, this research project seeks to contribute to the existing literature on the impact of external development on economic growth in developing countries, with a specific focus on Nigeria. By analyzing historical data and trends, the study aims to shed light on the mechanisms through which external factors have shaped Nigeria's economic development and provide recommendations for policymakers and stakeholders to leverage external development for sustainable economic growth in the future.

Thesis Overview

INTRODUCTION

1.1 BACKGROUND OF THE STUDY

The accumulation of external debt is a common phenomenon of the third World countries at the stage of economic growth and development where the supply of domestic savings is low, current account payment deficit is high and import of capital is needed to increase domestic resources.

The management of Nigeria’s external debt has been a major macroeconomic problem especially since the early 1980s. For many years now, the country’s debt has been growing in spite of the efforts being made by the Government to manage and minimize its crushing effects on the nation’s economy. Such efforts range from the various refinancing and restructuring agreements to debt conversion programme and the deliberate allocation of substantial resources towards servicing the debt. Of particular concern to the authorities, is the heavy debt burden it imposes when compared with the country’s debt service capacity.

In recent years, however, some observers have held different perceptions about Nigeria’s capacity or otherwise to service her debt.