The impact of Agriculture on Nigeria's Gross Domestic Product

Canaan Ugo-Unachukwu

Master's thesis

Abstract:

The purpose of this study was to determine the impact of Agriculture on the GDP of Nigeria and to achieve this, annual data was obtained for a period of 30 years, from 1991-2020. Agriculture in Nigeria is a fundamental and indispensable part of the Nigerian economy. This sector is responsible for the daily supply of food to the population and absorbs about 36% of the nation’s total labour force and has a contribution of 24% to the GDP of Nigeria. In order to determine the impact of agriculture on Nigeria’s GDP, annual data was obtained from World bank from 1991-2020 and OLS regression was employed during the analysis. The result indicate that a 1% increase in Agriculture value added will result to an increase in GDP by 0.29%; a 1% rise in value added by Industry leads to a 0.25% increase in GDP; a 1% increase in value added by services results in a 0.45% increase in GDP; and a 1% increase in the value by exports of goods and services leads to a 0.04% increase in GDP. The result shows that agriculture significantly impacts the nation’s GDP so the study suggests that the government needs to initiate policies that will support the income of farmers, investments should be made in the research and development of the agricultural sector and farmers need to be provided with farm equipment and inputs that will aid in increasing agricultural production and also improving the quality of these products.

Keywords

Agriculture, GDP, Economic Growth, Ordinary Least Squares, Nigeria

Jazyk práce: English

Datum vytvoření / odevzdání či podání práce: 31. 3. 2022

Obhajoba závěrečné práce

• Vedúci: Ing. Karel Malec, Ph.D.

Czech University of Life Sciences Prague

Faculty of Economics and Management

Master programme / odbor:
Economics and Management / Economics and Management