Economic Policies and Challenges of Development in Nigeria

Abstract

The paper examined economic policies and challenges of development in Nigeria. In doing this, the paper adopted the descriptive analysis techniques as a basis of analysis. Data used for this study is basically from secondary sources and qualitative design. Endogenous Growth theory was adopted as a framework of analysis. The theory emphasis the institution of a knowledge-based human capital accumulation system and structures through learning by doing externalities, investment in research and development (R&D) activities that will generate new ideas, enhance technological progress, and improve the quality of products. The findings revealed that both economic, political and social indicators point to the direction of a crisis-ridden economy. That there is acute unemployment, widespread poverty, high-level illiteracy, decayed social and physical infrastructure, technological backwardness, excessive debt over-hang, among several others, despite myriads of plans since independence. Therefore, deriving from these shortcomings, the paper recommends that a disciplined political leadership is what Nigeria needs to implement policies that will ensure development. The paper also recommends policy adjustments and reforms designed to shift the country from its dependence on oil and diversify the economy towards private sector-led growth to place Nigeria on a more sustainable path to recovery and development.