Article Number: DRJAFS32070390
DOI: https://doi.org/10.5281/zenodo.3458273
ISSN: 2354-4147

Vol.7 (9), pp. 264-270, September 2019

Copyright © 2019

Author(s) retain the copyright of this article


Original Research Article

 Econometrics analysis of impact of insecurity on agricultural growth and transformation in Nigeria (1960 – 2017)

Enimu Solomon*

Onome George Edet

Isa Umar Kyari


Abstract

Sustainable agricultural growth has been a contentious issue in Nigeria agricultural transformation agenda towards economic development. This study examined the impact of insurgence on agricultural growth and transformation in Nigeria using secondary time series data from 1960-2017. Data used were sourced from National Bureau of Statistics (NBS); Central Bank of Nigeria (CBN) and were analyzed using the Vector Error Correction Model (VECM) after testing for stationarity, co-integration and lag selection using the Augmented Dickey-Fuller (ADF), Johansen and the Schwarzs Bayesian Information Criterion (SBIC) Statistic respectively. The results from the econometric analysis showed that Gross Domestic Product (GDP) is affected directly by food production level and government agricultural expenditure, while insurgency such as Boko-Haram, Niger-Delta, Herders/Farmers and ethnoreligious crisis affects GDP negatively. A unit change in these variables affects GDP by 5.37, 4.25, – 12.65, – 16.34, – 11.25 and -19.40% respectively. In the food production equation, insurgence of Boko-Haram, Herders/Farmers and Ethno-religious crisis negatively impact food production level by -12.11, – 4.90 and 2.37% respectively, while in the government agricultural expenditure equation; GDP, food production level, positively affects government expenditure on agriculture by 0.25 and 0.039% respectively, Boko-Haram, Niger-Delta, Herders/Farmers and Ethno-religious crisis negatively affects government agriculture expenditure by -0.35, -0.78, -6.20 and -3.51% respectively. Based on the study, it was recommended that public spending on agriculture should be project and farmers target specifically for efficiency and effectiveness while proactive counter-insurgency measures should be adopted by security agencies


Keywords: Transformation, insurgency, growth, impact, econometrics


 Received: August 11, 2019  Accepted: September 6, 2019  Published: September 30, 2019


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