E3 Journal of Business Management and Economics

E3 Journal of Business Management and Economics Vol. 5 (4) pp. 091-096, May 2014; © E3 Journals; ISSN 2141-7482

Effect of business on economic development in Nigeria

Abstract

The study examines the effect of the businesses in Nigeria on the economic development of the country. This is with the desire to examine its ability to achieve the desired objectives in the country (Nigeria). Business has contributed to changes in the level of development in the country through generation of employment; direct creation of wealth and reduction of poverty by contributing to the Nigeria Gross National Product (GNP) and GDP. Also, it contributes to provision of: technical innovation and competition for better services and meeting needs of other businesses by providing products or raw materials needed for other businesses to survive. The increase in economic output recorded in third quarter of 2013 was as a result of increases recorded in agriculture, hotels and restaurants, building and construction and telecommunications sectors of the economy. The contribution of the non-oil sector in the third quarter of 2013 was due to benign weather conditions that led to bountiful harvests in the agricultural sector, increased investments by local and foreign investors and the positive macroeconomic environment. The report however identified the privatization of the power sector, agricultural transformation initiative among factors to drive the country̓s growth. The study made recommendation for further development.

Keywords: Business; Economic Development, Employment, Gdp, Privatization