Original Research

An examination of the causes of poverty on economic growth in Nigeria

Benjamin B. Omoniyi
Africa’s Public Service Delivery & Performance Review | Vol 6, No 1 | a175 | DOI: https://doi.org/10.4102/apsdpr.v6i1.175 | © 2018 Benjamin B. Omoniyi | This work is licensed under CC Attribution 4.0
Submitted: 23 May 2017 | Published: 12 September 2018

About the author(s)

Benjamin B. Omoniyi, Department of Economics, Joseph Ayo Babalola University, Nigeria


Background: This article examined the effect of poverty on economic growth in Nigeria because it was discovered that the existing literature has not holistically battle against the worsening scourge of poverty in Nigeria.


Aim: The article specifically examined the relationship between poverty and economic growth, the determinants of economic growth and poverty from 1980 to 2013.


Setting: The article is structured into five sections which include introduction, literature review, methodology, discussion of results and conclusion.


Methods: The article employed an error correction model as estimation technique to analyse the time series data collected. The Solow–Swan growth methodology and the cumulative and cyclical theory were adopted as methodological approach to achieve the objectives of this article.


Results: The article revealed a positive and significant relationship between inflation, life expectancy and economic growth, while investment proved insignificant. Conversely, poverty, corruption, debt, mortality, human capital development and unemployment presented negative relationships with economic growth. Corruption, life expectancy and mortality rate were significant, while poverty, debt, human capital development and unemployment proved insignificant. Corruption, inflation, life expectancy and mortality rate were the determinants of economic growth. Finally, the article further revealed that all the variables were determinants of poverty in Nigeria except corruption and human capital development.


Conclusion: The article concluded that poverty, corruption, debt, mortality rate, human capital development and unemployment retarded economic growth, whereas other variables enhanced economic growth. The article therefore recommends that government should establish quality institutions and sincere poverty alleviation programmes to improve the level of economic growth in Nigeria.


examination; causes; poverty; economic growth; error correction model


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