PEACE ACCOUNTING AND ECONOMIC GROWTH OF NIGERIA
Keywords:
Corruption, Economic growth, Gross domestic product, Internal security, Military expenditure.Abstract
Nigeria's economic growth has become a concern for many, as it is now seen as a key indicator of political performance. Achieving steady economic growth in Nigeria remains difficult due to ongoing issues of insecurity, corruption, and terrorism. Although efforts to tackle these problems have increased, Nigeria still faces significant obstacles, as shown by its fluctuating GDP. While many studies have explored the link between peace accounting and economic growth, there is limited empirical research specifically on how peace accounting affects Nigeria's economic growth. Therefore, this study examines the effect of peace accounting on Nigeria's economic growth. This study employs an ex-post facto research design. Secondary data from the Central Bank of Nigeria, the Institute for Economics and Peace, and Transparency International, covering the period from 1993 to 2023, were utilised. Descriptive and inferential statistics (Autoregressive Distributed Lag Model) were applied to analyse the data at the 5% significance level.Findings indicated that peace accounting had a joint significant effect on economic growth and RGDP (Adj. R² = 0.698, F(4,26) = 6.206, ρ = 0.001) in Nigeria. Specifically, LCIS had a positive but statistically insignificant effect (β = 1.563, t = 1.937, ρ = 0.0718), LME had a significant negative effect (β = -1.678, t = -2.252, ρ = 0.0397), COR had an insignificant negative effect (β = -0.095, t = -1.036, ρ = 0.3166), and TER had an insignificant positive effect (β = 0.026, t = 0.195, ρ = 0.8478) on RGDP.The study concluded that peace accounting affects economic growth in Nigeria. It recommends that government agencies, academics, and investors implement strategic peace policies to boost Nigeria’s economic growth.References
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