Browsing by Author "Saleh, Atiku Dambatta"

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    A DISAGGREGATED ANALYSIS OF THE EFFECT OF DOMESTIC PUBLIC DEBT ON ECONOMIC GROWTH IN NIGERIA
    (Department of Banking and Finance, Nasarawa State University Keffi, 2021-09-09) Nwala, Maureen Nneka; Saleh, Atiku Dambatta
    ABSTRACT The study examines the relationship between disaggregated domestic public debt and economic growth in Nigeria for the period 2007Q1 to 2020Q2. Secondary data is obtained from the Central Bank of Nigeria Statistical Bulletin and Debt Management Office Quarterly Domestic Debt Reports as well as National Bureau of Statistics Quarterly Reports. The study uses Gross Domestic Product (GDP) as the dependent variable to measure the Nigerian economic growth; whereas, banking sector debt, non-bank public debt and Central Bank of Nigeria debt - ways and means advances as the independent variables. Three hypotheses were tested using time series econometrics models. The result reveals that there is a long-run equilibrium relationship between banking sector debt, non-bank public debt, Central Bank of Nigeria debt - ways and means public debt have statistically positive significant effect on economic growth, the Central Bank of Nigeria debt - ways and means advances has a negative but significant effect on growth in Nigeria. Thus, the study recommends that that the Government should give more priority to banking sector and non-bank public debt in funding budget deficit and that borrowing from the CBN by the Government should be restricted to refinancing of maturities only.
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    A DISAGGREGATED ANALYSIS OF THE EFFECT OF EXTERNAL PUBLIC DEBT ON ECONOMIC GROWTH IN NIGERIA
    (Department of Banking and Finance, Nasarawa State University Keffi, 2021-03-03) Saleh, Atiku Dambatta; Nwala, Maureen Nneka
    This study examines the effect of disaggregated external public debt on economic growth in Nigeria. The study uses an ex post facto research design. Secondary data was collected from Debt Management Office (DMO) of Nigeria for fifty-five quarters spanning through 2007Q1 to 2020Q3. Employing the econometric methodology of the Johansen Co integration and Vector Error Correction Model (VECM), the study establishes long run relationships among the variables. The results show that while the relationship between bilateral debt and growth is positive and significant, multilateral debt has a negative and insignificant relationship with economic growth. The result further indicates that the relationship between commercial debt and economic growth is negative and significant. Based on the findings of this study, it is recommended that: the Federal Government should give more priority to bilateral loans in funding growth through its deficit financing; the recent aggressive use of commercial loans to fund deficit should be reduced and restricted to the refinancing of maturities and extension of yield curve; the Federal Government should continue borrowing from the multilateral sources due to its strong influence in lowering the average cost of borrowing for government, subject to Nigerian envelop; and, that a comprehensive analysis of the effect of disaggregated public debt on the economy needs to be carried out on a regular basis by the Debt Management Office.
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    EFFECT OF BUDGET DEFICIT AND PUBLIC DEBT SERVICING ON DOMESTIC DEBT STOCK IN NIGERIA
    (Department of Banking and Finance, Faculty Of Administration Nasarawa State University, Keffi., 2019-03-18) Saleh, Atiku Dambatta; Udenwa, Theresa A
    This study examines the effect of budget deficit and public debt servicing on domestic debt stock in Nigeria. An ex-post facto research design was employed for this study. Secondary data were collected from Central Bank of Nigeria Statistical Bulletin for thirty eight year period spanning through 1981 to 2018. Employing the econometric methodology of the Johansen Cointegration and Vector Error Correction Model, the study established long run relationships among the variables. The Ordinary Least Square result shows that budget deficit has no significant effect on domestic debt stock in Nigeria, while domestic debt servicing have significant effect on domestic debt stock in Nigeria. The study recommends that the Debt Management Office should take urgent steps towards restructuring part of the short term domestic debt to long term through outright redemption of portion of short term domestic debt when they mature. Also, to reduce the possibility of crowding-out the private sector, the Federal Government should encourage private sector participation in developmental projects through the issuance of Federal Government guarantee.