economic empowerment of the youth (young graduates) through the nysc’s war against poverty (wap)...

8/17/2019 Economic empowerment of the youth (young graduates) through the NYSC’s War against Poverty (WAP) program.

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CHAPTER ONE

1.1 BACKGROUND OF THE STUDY

The Millennium Development Goals (MDGs) are a set of development targets

aimed at effecting measurable improvements in the life of the world’s poorest citizens

they are basically eight () goals namely!

Goal"1! #radicate e$treme poverty and hunger

Goal"%! &chieve universal primary education

Goal"'! romote gender euality and empower women

Goal"*! +educe child mortality

Goal",! -mprove maternal health

Goal".! /ombat 0-2&-D34 malaria and other dieses

Goal"5! #nsure environmental sustainability

Goal"! Develop a global partnership for development

These came about as a result of the 6nited 7ations Millennium Declaration

adopted at the Millennium 3ummit held . th to th 3eptember %888 in 7ew 9or:4

7igeria has been committed to the realization the Millennium Development Goals by

the year %81,; -n line with 7igeria’s commitment to the MDGs4 the


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ongoing reforms on the poorer segments of our society4 the


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further compounded by the burden of reconstruction after the civil war4 the

government and people of 7igeria set for the country4 fresh goals4 and ob=ectives

aimed at establishing 7igeria as!

(a) a united4 strong and self reliant nation

(b)a great and dynamic economy

(c) a land of bright and full opportunities for all citizens and

(d) a free and democratic society;

-t is a culture in 7igeria that once a student graduates from the 6niversity or a

polytechnic4 with a degree or 7ational 0igher Diploma4 (07D)4 he or she is sent to a

state in 7igeria to serve the 7ation;

'Youths obey the clarion call, let us lift our nation high, under the sun and in the

rain, with dedication and selflessness, Nigeria ours, Nigeria, we Serve.'

The above is the National Anthem of every youth corps member in 7igeria;

&nd for '8 years4 it has sounded sure and true; The 793/ 3cheme has ' stages4 the '

wee:s of orientation camping4 the /ommunity Development 3ervices (done once a

wee:)4 and The lace of rimary &ssignments4 (where each corps member is posted to

after the orientation camp and where he is to serve for one year); 793/ has not been

without its ups and downs4 with tales of :illings and abductions of /orp Members

every where4 every state; >ut good things are always met with resistance; &s a 9outh

/orp Member myself4 - believe in the 793/4 and - believe in its vision; -t is the single

unifying factor in 7igeria that has survived so long;


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E#ntrepreneurshipF is defined as the capacity and wiliness to develop4 organize

and manage a business venture along with any of its ris: in other to ma:e profit; The

most obvious e$ample of entrepreneurship is the starting of a new business

-n economics4 entrepreneurship combined with land4 labor4 natural resources capital

can produce profit; #ntrepreneurial spirit is characterized by innovation and ris:

ta:ing4 and is an essential part of a nation’s ability to succeed in an ever changing and

increasingly competitive mar:et place; Going bac: to the MDGs goals 1 E#radicate

e$treme poverty and hungerF the 793/ scheme set up an economic empowerment

program in the name of EAar &gainst overtyF (A&) whose primary ob=ective is to

train and empower youth corps members in their year of service to the nation in

various entrepreneurial s:ills in areas li:e farming4 fishery4 rabbitery e;t;c

The primary criteria was to implement pro=ects and programs that were Euic:"winsF4

having relatively short gestation periods but with potential for immediate impact on

the social well being of communities across the country;

1.2 STATEMENT OF THE PROBEMS

& millennium summit of 1B world leaders in 3eptember of the year %888

pledged to meet all of the eight goals of the MDGs by %81, ;This united nation

summit came on board as a result of the need to improve social4 economic and

political standard of the worlds populace; Despite its long period of e$istence4 the

goals are yet to be fully attained; This pro=ect loo:s into the problems and challenges

of delivering the MDGs goals 1 in relation to poverty reduction and eradication;


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1.! OB"ECT#$ES OF THE STUDY

-n the light of the attainment of poverty reduction through entrepreneurial

s:ills acuisition and funding through the MDGs office to the 793/ corps members4

this pro=ect hopes to loo: at the A& scheme of the 793/ for the new corps members

fresh from the school into the labor mar:et; The ob=ectives of this study include and

not limited to the following!

1. To e$amine the economic empowerment of the youth (young graduates)

through the 793/’s Aar against overty (A&) program;2. To create the awareness and increase sensitization of the corps members on

wealth creation outside the conventional salaries =ob;

3. To e$amine the impact of entrepreneurship on economic development of young graduates

4. To better understand how the Aar &gainst overty program contributes to the

attainment of MDGs Goal 1;5. To :now some of the challenges faced by entrepreneurs in attaining self

sustenance;6. To ma observations4 suggestions and recommendations based on the findings;

1.% RESEARCH HYPOTHES#S

The term hypothesis can be referred to as assertion sub=ect to verification4 or as an

assumption used as a basis for action4 this research assumes the following statistical

statements

0 there is no significant relationship between the MDGs &7D entrepreneurship

development in 7igeria


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01 there is significant relationship between the MDGs &7D entrepreneurship

development in 7igeria

1.& METHODOOGY OF THE STUDY

This research will employ the use of ualitative and uantitative statistical analysis;

Time series observation using graphs which shows the trend movement of data will be

used for descriptive analysis; The inferential statistical tools will be econometric

method of analysis where an econometric multiple regression model will be adopted

to determine the impact of MDGs documents on entrepreneurship development in

7igeria;

Aith the appropriate model4 the following test will be conducted to test the statistical

reliability and significance of the estimated parameters; These include standard error4 t

" statistic4 f " statistic4 coefficient of determination + % and coefficient correlation;


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The research will covered a period of 18years from %888 to %811 considering the

emergence of democratic government in 7igeria in the past 1, years4 a lot of emphasis

on poverty alleviation as been on the front burner of the domestic government and the

international organization4 especially through the development of entrepreneurial

activities; 0owever4 references can be made to data before the year %888 as they are

important to the study;

This wor: limits itself on the evaluation of the impact MDGs documents on

entrepreneurship development in 7igeria;; 0owever4 there are other relevant economic

variables that can impact on entrepreneurial activities in the country rather than MDGs

alone; ther ma=or limitations to this wor: includes insufficient and unavailability of

current data (%81')4 inadeuate time and resource constraint;

1.) RESEARCH OUT#NE

This research is structured into five (,) chapters; The first chapter introduced the

study4 it includes the bac:ground of the study4 statement of the problem4 ob=ectives of

the study4 significance of the study4 research methodology4 hypothesis of the study4

sources of data4 scope and limitation of the study and research outline;

The second chapter is where all available related literature on the sub=ect matter will

be reviewed; -t contains conceptual framewor:s of the sub=ect matter4 MDGs

documents and entrepreneurship4 theoretical framewor: and the importance of

entrepreneur in an economy;


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/hapter three establishes the lin:age between MDGs and entrepreneurship

development in 7igeria4 the challenges and way foreword;

-n chapter four4 data presentation4 analysis and discussion of research findings will be

carried out;

/hapter five contains the summary of findings with their implications4 conclusion and

recommendation of the study;


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B

CHAPTER T*O

#TERATURE RE$#E*

2.1 RE$#E* OF REATED #TERATURE

3cholars have documented enormous evidence which points to the fact that

e$treme poverty is predominant in rural areas4The -nternational fund for agricultural

development (-


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produce less progress in poverty reduction (&igbo:han4 %888); This has therefore4 led

to a shift in emphasis from the pace of growth to the structure of growth strategy;

2.2 CONCEPTUA FRAME*ORK

The basic needs approach has as its main ob=ective the need to satisfy the

essential reuirements for minimum standard of living; The approach is concerned

with improving first4 income earning opportunities for the poor4 second4 the flow of

goods and services to meet the needs of all members of households4 and thirdly4 the

participation of the poor in ways in which their needs are met (Iadgerwood4 %888);

The targeting approach reuires the directing of poverty alleviation

programmes to specific groups within the country; /omponents of the approach

include micro"credit4 school meal4 medical care4 safety nets4 and public wor:s

programmes; The approach reuires proper identification of the target group for

effective targeting; The employment Joriented target emphasizes employment

promotion as the principal means of spreading the benefits of economic development

more evenly throughout the economy; The pace growth ob=ective was modified so as

to ma$imize not only output4 but also the rate of labour absorption;

The inevitable conclusion from the foregoing is that in spite of the various

programmes implemented to date4 the incidence of poverty is still high and

unemployment problem remains daunting; 6nli:e in the past4 focus should not be

mainly on public wor: schemes and public sector agencies4 the level of corruption and

institutional wea:nesses in public agencies; olicy should shift to the promotion of

private sector labour intensive growth; The rural development approach should be

adopted; +ural development approach derives from the perspective that the ma=ority

of the poor in developing countries live in rural areas; The approach4 therefore4


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emphasizes the need to focus development effort in the sector; Though4 there are

variants to this approach4 the most prominent is perhaps the integrated rural

development variant; This variant recognizes that poverty is multi"dimensional and

therefore4 reuires multi"pronged approach; The approach see:s to develop all sectors

of the rural economy and lin: them up effectively; The components of the approach

include infrastructure development4 provision of social services and employment

generation opportunities to the rural dwellers in general and the rural poor in particular

(&igbo:han4 %888);

&chieving sustainable poverty reduction and broad"based economic growth

depends on enabling poor men and women to transform their livelihood; The poor

need to be given a chance to build their individual and collective s:ills and capabilities

in order to gain access to economic opportunities and basic social services and

infrastructure; Iac: of a virile entrepreneurial institution ma:es it difficult for the poor

to e$ploit opportunities within their communities and to

develop lin:s with e$ternal partners (-


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(1BB1)4 management 3tevenson (1B,) and technology +oberts (1BB1) and Iitva: and

Maule (1BBB) cited in Tonge (%88%) have grappled with a diverse set of interpretations

and definitions to conceptualize the idea of entrepreneurship;

& further search of the literature also reveals that researchers have been

inconsistent in their definitions of entrepreneurship; There are minimum of a hundred

definitions to e$plain the concept of entrepreneur and entrepreneurship; Their

meanings depend on when they were devised and on the society in which the various

researchers developed them (Di"Masi4 1BBB);

-n the last century4 many writers have identified entrepreneurship with the

function of uncertainty and ris: bearing and others with the coordination of productive

resources4 the introduction of innovation and the provision of technical :now"how

0oselitz (1B,%) cited in (>urnet4 %888); During the si$teenth century4 people who

organized and managed military and e$ploration e$peditions in


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greater yield; 0e added to /antillon’s definition by including the idea that an

entrepreneur is one who brings other people together in order to build a single

productive organization; >ut 3ay’s definition4 according to Druc:er (1B,)4 does not

tell us who the entrepreneur is4 and since 3ay coined the term almost two hundred

years ago4 there has been lac: of consensus over the definition of entrepreneur and

entrepreneurship;

-n the 1Bth century4 >ritish economists such as &dam 3mith4 David +icardo

and Lohn3tuart defines the concept of entrepreneurship under the broad #nglish term

of business management (>urnett4 %888); 0owever4 3chumpeter (1B*5) argues that

whereas the writing of 3mith and +icardo suggests that they li:ely undervalued the

importance of entrepreneurship4 Mill actually stresses its significance for economic

development and growth; 0e further claims that entrepreneurship reuires Eno

ordinary s:illsF and laments the fact that there is no good #nglish language euivalent

word to encompass the specific meaning of the


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activities including the process of identifying4 developing and bringing a vision to life;

This vision may be an innovative idea4 an opportunity or a better way of doing

something; The end result of this process is the creation of a new venture4 the

e$pansion of an e$isting one carried out under conditions of ris:s and considerable

uncertainty (Meyer et; al;4 1B5.);

&ccording to 67D (1BBB)4 entrepreneur is the process of using private

initiative to transform a business concept into a new venture or to grow and diversify

an e$isting venture or enterprise with high growth potential; There is a wide"spread

opinion that national or regional economic development is associated with new firm

creation intensity (enesaar and Ioomets4 %88.); 7ew firms formation is considered

as an important indicator of entrepreneurial activity and :ey component in economic

growth and development; #ntrepreneurs identify an innovation to seize an opportunity4

mobilize money and management s:ill4 and ta:e calculated ris:s to open mar:ets for

new products4 processes and services (0arper4 %88'); Ahile traditional theories are of

the opinion that entrepreneurs are born (innate principle which is stamped on the soul4

and the soul brings it into the world)4 modern development economics have argued

otherwise4 and have also emphasized the need for entrepreneurship development;

#ntrepreneurship development is the process of enhancing entrepreneurial s:ills and

:nowledge through structured training and institution"building programmes (67D4

1BBB);

#ntrepreneurship development aims to enlarge the base of entrepreneurs in

order to hasten the pace at which new ventures are created; There is the temptation of

confusing small and medium enterprise (3M#) development and entrepreneurship

development by policy ma:ers in 7igeria; #ntrepreneurship development focuses on


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the individual who wishes to start or e$pand business; 3mall and medium enterprise

development4 on the other hand4 focuses on developing the enterprise4 whether or not

it employs or is led by individuals who can be considered as entrepreneurs (67D4

1BBB);


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topics related entrepreneurship have appeared;The study and teaching of

entrepreneurship and the role played by professors and other academicians dedicated

to teaching and research on this topic are of growing importance4 as reflected by the

boom in courses and chairships in entrepreneurship in 7igeria in the last few years;

&lso the introduction of #ntrepreneurship as a G3T course to all

%88 level students of 6niversity of Los has also contributed immensely to the

development of entrepreneurship in 7igeria;

2.2.2 THE RE$#E* OF M#ENN#UM DE$EOPMENT GOAS

During the last decade4 leading up to the 'rd millennium4 a number of 67

/onferences were held with the intention of laying down international Development

Targets (-DTs)4 which could help countries in fighting poverty; &t the Millennium

3ummit held in 3eptember %888 in 7ew 9or:4 representatives of 1B1 countries

adopted the Millennium Declaration; &mong the 1B1 representatives were 1*5 0eads

of 3tate or 0eads of Government including &frican 0eads of 3tate;

&ccording to 3achs and +eid (%88.)4 the Declaration focussed on concerns

arising from peace4 security and development issues and covered areas including

environment4 human rights and the sound management of public affairs; The

Declaration sought to integrate into one overall programme a variety of

complementary and mutually reinforcing development goals; These goals and the

development targets defined by the world conferences and summits of the 1BB8s are

related but in some respects different; +ecently4 the various categories of goals were

regrouped into the EMillennium Development GoalsF (MDG)4 which are!

#radicate e$treme poverty and hunger


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&chieve universal primary education

romote gender euality and empower women

+educe child mortality

-mprove maternal health

/ombat 0-2&-D34 malaria and other diseases

#nsure a sustainable environment

Develop a global partnership for development;

These eight goals are bro:en down into eighteen uantitative targets4 which should be

achieved within the twenty"five year period from 1BB8 to %81,; Monitoring of

progress towards the MDGs will be carried out at the global4 continental4 sub regional

and country levels;

&t the international level4 the 6nited 7ations 3ecretary General will report on

progress to the General &ssembly annually and will present a more detailed report

every five years; 0owever4 at the country level4 reports on the MDGs will help to

mobilise support from development partners for the achievement of the goals; The

6nited 7ations /ountry Teams under the guidance of +esident /o"coordinators are

reuired to support the Government in monitoring progress and in providing MDG

reports;

2.! #MPACT OF ENTREPRENEURSH#P ON N#GER#A ECONOM#C

GRO*TH

erception of &frican entrepreneurship among scholars and researchers seem

to differ considerably; &t one e$treme is the view that4 for one reason or the other4

technical entrepreneurial talent that involves the establishment and management of

manufacturing industries for productive activities in the real sector of the economy4 is


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lac:ing in &frica; &ccording to a Aorld >an: study carried out by 7ils"0enri: Morch

in 1BB,4 the poor growth performance of most sub"3aharan countries and4 in

particular4 the slow rate of industrialization could be ta:en to support such a dismal

perception; 0owever4 the study further proposed an alternative view that

entrepreneurial talent is indeed available but that the economic environment have been

such as not to allow this talent to develop;

3upporters of this view may point to the fact that the :ind of economic policies

that have been followed in many &frican countries in the two to three decades after

political independence have not always been conducive to private enterprise; This

position is consistent with a third view by &d=ebeng"&sem (1BB) that the &frican

entrepreneur is alive and well4 but that he or she4 rather than underta:ing

manufacturing businesses4 has been diverted to non"productive4 rent"see:ing activities

which researchers have referred to as commercial entrepreneurship; -n spite of this

critical gap in &frica’s development process4 researchers and scholars around the

world have long identified the role of entrepreneurs and entrepreneurship in the

economic development of nations;


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brea:ing new grounds in human endeavour as a result of the vital characteristics or

attributes they possess;

6nfortunately4 after more than four decades of import substitution strategy4

structural ad=ustment programme (3&)4 commercialization and privatization of ailing

state"owned enterprises and general economic decline4 the manufacturing sector’s

contribution to the Gross Domestic roduct (GD) in 7igeria is still very small; -t is

plagued by low productivity and low"uality output; This is compounded by the

conseuent increase in competition from imports4 which has resulted in downsizing or

outright closure of many manufacturing industries; Therefore4 the e$tent to which the

restructuring of the private sector as the engine of growth of the economy will succeed

is dependent on the fostering and development of technical entrepreneurship among

the indigenous population;

-n addition4 theoretical and empirical investigations have emphasized the

crucial role that technological innovation and technical entrepreneurship play in

fostering economic development; These investigations are now seen as crucial and are

also recognized as important components of technology policy and economic

planning;


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for accelerated economic growth and for not harnessing the abilities of their own

citizens for technological innovations and entrepreneurship;

/ritics also conclude that these developing countries depend on e$ogenous

technologies that are inappropriate for their environment; This has been responsible

for 7igeria’s e$ports which have largely been based on raw materials and semi"

manufactured goods with the petroleum sector asthe most important; Iess than ,N of

these e$ports are on the average attached to :nowledge intensive goods and services

(&d=ebeng"&sem4 1BB and &:eredolu"&le4 1B5,); The problems became acute in the

1B8’s and early 1BB8’s4 when 7igeria e$perienced stagnating industrial output and

decreasing crude oil prices while industrialization through the production of

indigenous technological development became central topics in the industrial policy

debates; &s a result of this4 6nited 7ations Development rogramme (67D4 %88')

and 6nited 7ations -ndustrial Development rganisation (67-D4 1BB*) argued that

if 7igeria is to =oin the league of industrialized economies4 industrial activities have to

converge and focus more on :nowledge based production particularly in the small

scale manufacturing and processing industries;

This view was partially enunciated in the various development plans4 national

budgets4 rolling plans and in the current reform programmes elaborated in the 7ational

#conomic #mpowerment and Development 3trategy (7##D3) (


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enhancing greater opportunities per unit of capital invested and aiding the

development of local technology (3ule4 1B.4 7ils"0enri: and Morch4 1BB,);

-n 7igeria4small"scale businesses represent about B8N of the industrial sector

in terms of the number of enterprises; They also account for 58N of national industrial

employment if the threshold is set at 18 J ,8 employees4 contribute 18N of

manufacturing output and a meager 1N of gross domestic product (GD) in %881

(&=ayi4 %88%); 3imilarly4 they have also contributed significantly to economic

development through employment4 =ob creation and sustainable livelihood (7igerian

-nvestment romotion /ommission4 %88'); -n spite of their significance and

contribution of small industries to the national economy4 many problems and

constraints still e$ist in promoting their development and growth;

&nother obstacle to the modernization of small industries are the persistence of

a low level of technology4 the shortage and inadeuate entrepreneurial s:ills of

operators and the absence of an effective management techniues (67-D4 1BB*);

Their low product uality ma:es it difficult for them to compete in a technologically

driven4 :nowledge based and e$port oriented globalized economy; There is therefore

the need to tap the considerable +?D efforts that ta:e place at universities4

polytechnics4 monotechnics and other public and private sector research institutions

through increased commercialization or technology transfer of research results;

0owever4 this can only be achieved through a deliberate intervention strategy of

developing a core of characteristics among the small industry operatorsto enhance

production efficiency4 uality and output;

The failure of past efforts by small industry operators and the little intervention

by government necessitate the need to assess why indigenous technical innovations4


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management practices and other :ey success factors in business are often not

translated into feasible business ventures despite the fact that the country has the

technological need; These issues according to researchers such as &:eredolu"&le

(1B5,)4 &fon=a (1B.) and &d=ebeng"&sem (1BB) imply a lin: between technical

innovation4 entrepreneurship and a much broader level of technological development;


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CHAPTER THREE

M#ENN#UM DE$EOPMENT GOA+ #N THE DE$EOPMENT OF

ENTREPRENEURSH#P #N N#GER#A

!.1 BACKGROUND TO ENTREPRENEURSH#P DE$EOPMENT #N

N#GER#A

#ntrepreneurship started when people produced more products than they

needed4 as such4 they had to e$change theses surpluses; y this way4 producers came to

realize that they can concentrate in their areas of production to produce more and then

e$change with what they needed;

3o through the e$change of products4 entrepreneurship started; & typical

7igerian entrepreneur is self made man who might be said to have strong will to

succeed he might engage the services of others li:e friends4 mates4 in"laws etc; to help

his wor: or production; Through this way4 7igerians in the olden days were engaged

in entrepreneurship; #arly entrepreneurship is characterized with production or

manufacturing in which case4 the producer most often started with a small capital4

most of it his own savings; #arly entrepreneurship started with trade by barter even

before the advent of any form of money;


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Modern entrepreneurship in 7igeria started with the coming of the colonial

masters4 who brought in their wares and made 7igerians their middle men; -n this

way4 modern entrepreneurship was conceived; Most of the modern entrepreneurs were

engaged in retail trade or sole proprietorship;

ne of the ma=or factors that have in many ways discouraged this flow of

entrepreneurship development in 7igeria is the value system brought about by formal

education; ut with some

more people being educated and the fact that government could no longer employ


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most school leavers4 economic programmes to encourage individuals into private

business were initiated;

The eight Millennium Development Goals (MDGs)4 adopted in 3eptember

%8884 offer the Aorld a means to accelerate the pace of development and to measure

results; They put the Aorld (particularly the developing Aorld) on a timetable to

produce substantial improvements in the lives of the people within a %,"year period4

by loo:ing bac:ward to 1BB8 and ahead to %81,; The succeeding subsections analyze

these goals4 vis"O"vis 7igeria’s progress so far;

!.2 N#GER#A AND THE M#ENN#UM DE$EOPMENT GOAS

Goal 1, Eradicate Etreme !overty and unger

This goal has a double target of halving4 between 1BB8 and %81,4 the

proportion of people whose income is less than P1 per day and those who suffer from

hunger; Data on national poverty trends is as shown in Table ';1; &s can be observed4

the proportion of people living in poverty in 1B8 was %;1N4 which later rose to

*.;'N in 1B, but plummeted to *%;5N in 1BB% before rising to .,;.N in 1BB.;

0owever4 in %88*4 the incidence of poverty declined to ,*;*N; -n spite of this drop4 it

is evident that the actual population in poverty was maintaining an upward trend from

1;' million in 1B8 to over 58 million in %88*; Moreover4 the results of the people’s

self"assessment of their own poverty status indicated over 5,N poverty incidence

(7>34 %818); -n other words4 three out of every four 7igerians believe that they are

poor4 thus creating doubts on the observed poverty reduction;


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TABE !.1 PO$ERTY PROF#E FOR N#GER#A -SEECTED YEARS/

Yea0 Poe0t eel -3/ E+timate

4 total

5o56latio

n

-million/

Po56lation in

-million/

Nationa

l

U07a

n

R60a

l

Male

hea4e4

ho6+ehol

4

Female

hea4e4

ho6+ehol

4

National U07an

1B8 %;1 15;% %;' %B;% %.;B ., 1;' 11;%

1B, *.;' '5; ,1;* *5;' ';. 5, '*;5 %;',

1BB% *%;5 '5;, *.;8 *';1 'B;B B1;, 'B;1 '*;'

1BB. .,;. ,;% .B; ..;* ,;, 18%;' .5;1 ,B;,

%88* ,*;* *';% .';' ,;% *';, 1%B;BQQ 58;5Q ,.;1

%81,

target

Q

%1;* 1; %' %1;. %8 15;.QQ ';%Q '';.

QQ Population estimates obtained from Annual Abstract of Statistics (2010)

So609e, 7ational >ureau of 3tatistics (2010). Poverty Profile for Nigeria

0owever4 using 1BB% as a reference point4 for this first goal to be achieved4

poverty levels are to be reduced to %1;*N4 1;N and %'N for the national4 urban and


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%5

rural areas respectively; The implication is that the current rate of reduction in poverty

is rather too slow to meet the targets set for %81,; -n other words4 if the current rate of

poverty reduction is maintained4 poverty incidence would reduce to 'B;8N as opposed

to %1;*N by %81,4 and about .B;5 million 7igerians would still be poor as against the

target of ';% million by %81,; Aith the current trend also4 the rural poor would be

about ,*N in %81, (B5 million) while the urban poor would amount to %%;.N (*8;'

million) in %81,4 which are all far from the desired targets;

Goal 2, #chieve $niversal !rimary Education

This goal has a single target of ensuring that by %81,4 children everywhere4

boys and girls ali:e should be able to complete a full course of primary schooling; The

trend in Gross #nrolment +atio (G#+)4 (the best available indictor that shows the

general level of participation in a given level of education)4 witnessed considerable

fluctuations over the last three and a half decades (1B58"%88,); -t shows a steady

increase from *';5N in 1B58 to 18;N in 1B84 and thereafter declined to B1;*N in

1BB8; -t rose from there to 11BN in %88% before declining to B,;BN in %88,; (3ee

Table ';%) This erratic movement in G#+ trend is not limited to the national enrolment

figures; -n terms of se$es4 it is observed that G#+ for males was consistently higher

than that of female by over %8N between 1B58 and %88% and by over 1.N between

%88* and %88,; This is probably due to early child marriage4 which forced most girls

out of school;

-t must be noted that4 in spite of the impressive trend and prospects of

reaching 188N in %81,4 the enrolment data as shown here4 may not always be

accurate owning to a multiplicity of factors; ne of such is the mista:en perception of


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some that enrolments are tied to funding and therefore should be inflated; This has

resulted in G#+ higher than 188N for some years;

TABE !.2 PR#MARY SCHOO GROSS ENROMENT RAT#OS -GER/

-1:(;


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%B

%88,; -n specific terms4 '45'B41%. million children aged ."11 years were un"enrolled

in %88*4 out of which 51N were females and %BN were males; >y %8854 it was

'4.,14''* million with the percentage of females and males still being 51N and %BN

respectively (


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'8

. ,

''#igures include preprimary enrolments.

P* + Pupils to eac,er *atio

-* + -ross nta!e *ate for Primary 1

-P + -ender Parity nde/ Na + not available

So609e+! 1. #ederal $inistry of %ducation (2010)

2 NS (2011). Annual Abstract of Statistics

' $D- *eport (2011);


31/71

'1

poverty particularly in the rural areas is also a ma=or reason for pupil’s

withdrawal from schools when their poor parents could no longer bear the

costs;

Moreover4 various problems could still be identified; asic #ducation (6>#) rogramme4 limited educational awareness especially in the

rural areas4 growing incidence of child labour 2 street haw:ing in urban centers to

gross under funding of educational system in 7igeria; &ll these are capable of

frustrating the country’s effort of achieving this second goal by %81,;

Goal !, !romote %ender E&uality and Empower omen.

The target here is to eliminate gender disparity in primary and secondary

education4 preferably by %88,4 and in all levels of education before %81,; The issue of

gender euality and2or women empowerment constitutes one of the most discussed

topics in recent times; Aomen are grossly under"represented in many aspects of

human endevour;

Table ';* shows enrolment figures in secondary and primary education in

7igeria from %88. to %811 for males and females;

Ta7le !.% Se9on4a0 an4 P0ima0 S9hool En0olment -2;;'


32/71

'%

#$ + #emale to $ale *atio (girls per 100 boys) calculated by t,e Aut,ors

So609e NS (2011) Social Statistics in Nigeria. Pp.1"20.

Table shows that at both levels of education4 primary and secondary4 enrolment

has been consistently higher for boys than for girls between %88. and %811; -n the

primary school4 the ratio of female to male was not above 8N " implying that there

are about 8 females to 188 males in primary school level; 7 (%811) indicated that the share of women in

tertiary education declined from *,N in %88. to *'N in %818; &ll these clearly show

that 7igeria was unable to meet the %88, preferred gender parity target in both

primary and secondary education;

Goal %, Re469e Chil4 Mo0talit

The aim of this goal is to reduce by two"thirds4 between 1BB8 and %81,4 the

under five"mortality rate; The progress of achieving this goal can be assessed using

three possible indicators4 namely4 the rate of infant mortality (per 1888 live births)4

under five"mortality rate and the proportion of one"year old fully immunized;

&lthough there are wide variations in infant mortality and under five mortality

rates among various data sources4 all the available data revealed that the problems are

highly significant in 7igeria; Table ';, presents 7igeria’s infant mortality rates for the

period 1BB8 " %88.; -t shows the number of infants dying before reaching one year of

age per 1888 live births in a given year;


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''

TABE !.& #NFANT MORTA#TY RATE -PER 1;;; #$E B#RTHS/ #N

N#GER#A -1::&


34/71

'*

Table ';, shows a steady but sluggish declining trend of infant mortality rate

from 11B;.N in 1BB8 to 18B;'N in %811; This shows a percentage reduction of ;.N

over the period; The percentage reduction over each successive period ranges between

8;'N and 1;N " a considerable slow rateR &mong the se$es4 the rate was consistently

higher for the males than for the females throughout the period of analysis; -f the %81,

target is to be achieved4 the country needs to reduce her infant mortality rate to 'B;BN

per 1888 live birth with female and male rates reducing to '1;5N and '*;1N per 1888

live births respectively;


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',

maintained between %881 and %88,; The country needs to reduce the ratio to about

'88 per 1884888 births by %81,

3ome probable factors responsible for the high maternal mortality rate in

7igeria include limited access to uality health care services4 inadeuate access to

emergency obstetric care4 poverty4 low literacy and uneven spread of antenatal and

postnatal health care services4 especially in rural areas; Table ,;1 presents some

selected maternal health statistics; -t shows that only ''N of the births were delivered

in a health facility while '5N had no antenatal care (&7/) before delivering; Ahen

compared to '*;N in 1BB8 and %B;5N in 1BBB4 it is obvious that the proportion of

mothers that do not receive &7/ is on the increase; (MDGs +eport4 %88,);

TABE !.' SEECTED MATERNA HEATH STAT#ST#CS #N N#GER#A

-2;11/

Se9to0+@Re=ion+ National U07an R60a

l

No0th

Cent0al

No0th

Ea+t

No0th

*e+t

So6th

Ea+t

So6th

So6th

N of women with

live births with 7o

&7/

'5 1, *. %, *5 ,B 1 15

N delivered in a

0ealth


36/71

'.

So609e, NS (2011). Annual Abstract of Statistics

Ahen considering the sectorial and regional variations4 the following few

highlights could be made!

(i) The problem is worse in the rural areas than in the urban areas with *.N

without &7/ compared to 1,N in the urban; Ahile *,N urban women

delivered their children in a 0ealth facility4 only %*N of rural women could

do same; The percentage of births attended to by s:illed health personnel in

urban areas was ,BN while %.N was the case in areas;

(ii) The northern zones had the worst rates compared to the 3outhern zones;

The problem is more pronounced in the 7orth"Aest zone with only 18N

births delivered in a health facility4 while almost .8N had no &7/4 and

=ust 1%N of the births attended to by s:illed health personnel; The 3outh"

#ast had and impressive record of only 18N live births without &7/ and

more than 8N delivered in a health facility and assisted by trained health

personnel;

&ll these suggest that tremendous effort needs to be made to achieve the target4

which would involve an annual reduction of * deaths per 1884 888 live births from

%88,;

Goal ', Com7at H#$@Ai4+ Mala0ia an4 Othe0 Di+ea+e+

This goal is to halt by %81,4 and begin to reverse the spread of 0-2&-D34

malaria and other ma=or diseases; 3ince the identification of the first 0-2&-D3 case

in the mid 1B8’s4 the 0- prevalent rate has continually been on the increase from

1;N in 1BB1 to ,;N in %881; Thereafter it shows a downward trend to ,;8N in %88'

and *;*N in %88,; &lthough this might suggest a decline in the percentage of 7igerian


37/71

'5

population with 0-2&-D3 the rates4 if interpreted with respect to the 7igeria’s

population over the periods4 would be shoc:ing; f estimated population of 11;

million4 1%.;% million and 1'';, million for the years %8814 %88' and %88,

respectively14 .;* million adult 7igerians lived with 0-2&-D3 in %8814 .;' million in

%88' and ,;B million in %88,; ;Aorld >an: (%885!18B) reported an increase in the

proportion of 7igeria’s population (aged 1, J *B) infected with 0- from ';5N in

%88' to ';BN in %88,; f this4 female accounted for ,;'N in %88' and .1;,N in

%88,; -n %8814 about 1584888 adults and children died of &-D3 and by %88.4

cumulative deaths from &-D3 were between ';. million and *;% million people (


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'

%88,4 the ratio of doctor to patients stood at 1!'15' (/>74 %88,); This affects the

implementation of the &-D3 program and health care in general;

The second target is to halt and begin to reverse the incidence of malaria and

other ma=or diseases by %81,; Table .;% shows that there is a noticeable reduction in

the prevalence of malaria and other ma=or diseases in 7igeria between 1BBB and

%88*; This seems to suggest that the country is ma:ing steady progress on the road to

achieving the millennium target; 0owever4 it is doubtful if the above data truly reflects

the real picture in the country; burden counties in the world with an estimated '.'4888 of all forms

and 1,.4888 smear positive (in=ections) cases of T> occurring annually J culminating

in 18,4888 deaths annually; This suggests that T> is a ma=or public health problem in

7igeria;

TABE !.', PRE$AENT RATES OF MAAR#A AND OTHER NOT#F#ABE

D#SEASES #N N#GER#A -PER 1;;;;;/. - 2;;%/

D#SEASES@YEAR

S

2;;& 2;;' 2;;( 2;;) 2;;: 2;1; 3C

7et

an4

Malaria 15.5;B

*

%8%';

1,;5

%%8%;B

,

15%.;B

B

11,5;

,

Measles 1B*;BB B%;* 1*8;5' 51;* B';51 '.;*1

Tuberculosis

(T>)

1.;B% 1,;5* 1%;81 1%;,5 %1;5, 5;85

/holera %;8% ,;' ;.1 1B;8, %;8, 1;8.


39/71

'B

Typhoid and

paratyphoid fever

,1;%* ..;,* %8;8, *;., .1;*' '8;1*

'3alculated by t,e Aut,ors

Source( NP3 (2011) %conomic Performance *evie5

&ccording to 7>3 (%811)4 at least ,8N of the population is estimated to suffer

from one or more episodes of malaria per year;

Goal (, Ensure Environmental Sustainability

This seventh goal aims at three important targets; These are integrating the

principles of sustainable development into countries’ policies and programmes and

thus reverse the loss of environmental resources halving4 by %81,4 the proportion of

people without sustainable access to safe drin:ing water and achieving4 by %8%84 a

significant improvement in the lives of at least 188 million slum dwellers;

&chievements relating to environmental protection and resource management

in 7igeria have been rather limited; 3ustainable development is threatened by a

plethora of environmental problems including land degradation4 pollution4 flood and

erosion4 desertification4 inefficient use of energy resources4 deforestation4 etc; Table

';5 shows that only a small portion of land (18N) was covered by forest between %88,

and %8184 while annual deforestation was *884888 ha which is over '8 times higher

than the rate of reforestation 418*'ha4(/>74%811);

TABE !.(, SEECTED EN$#RONMENTA #ND#CATORS -2;;' 2;11/

#ND#CATORS 2;;' 2;;( 2;;) 2;;: 2;1;

Total


40/71

*8

(3; :m) 1 1 1 1

rotected &rea as N of Total

Iand area

18 18 18 18 18

Deforestation per year

(ha2yr)

*884888 *884888 *884888 *884888 *884888

+eforestation per year

(ha2yr)

18*' 18*' 18*' 18*' 18*'

So609e, 3N Annual *eport and Statement of Accounts4 December 2011.P.160.

&part from the high rate of deforestation4 other factors with considerable

environmental conseuences include freuent oil spillage especially in the 7iger Delta

(the most recent one occurring unabated at -:ot &da 6do village in &:wa -bom 3tate)

as well as persistent gas flaring; Gas flaring level4 which was above 58N of the total

gas produced from 1BB8 to 1BB54 declined to *N in %88,4 rising thereafter to 5*N in

%885; -n %88B4 ',N of gas produced flared4 while *8N flared in %818 (3ee Table';5);

This is against the %,N level set by the


41/71

*1

1BB ''***;. 5,'.;% %,B8;* %' 55

1BBB '%5B' .,55 %.%1. %8 8

%888 '%B8 .B18 %.858 %1 5B

%881 '.B58 181,8 %.%8 %5 5'

%88% '.5,*; 18%85 %.,*5; % 5%

%88' '.8'.;. 18.;, %,1,8;1 '8 58%88* ',,.;* 1%..*;. %'1B1; ', .,

%88, *5,'5 %1B*, %,,B% *. ,*

%88. ,5,'8 %B.'B;5 %5B8;' ,% *

%885 181B5. %.%8';* 5,55%;1 %. 5*

%88 ,''5B '8,' %%5B. ,5 *'

%88B .B5* *,1,. %*,B% ., ',

%818 ,%*5 '*1 %'*%B .8 *8

%811 ,545,';5 'B4'5*; 1'5;B .;% '1;%

%81% ,545,';5 'B4'5*; 14'5;B .;% '1;%

'3alculated by t,e Aut,ors

So609e 3N Statistical ulletin4 2012.

The trend in /o% emissions increased from %%,,,;. million metric tones in

%88, to '.1*B;8% million metric tons in %818 and maintained the trend up to %81%

(&D>4%81%);-n addition4 /o% emissions resulting from domestic use of fossil fuels

remains an important source of air pollution and climatic changes in the country; -t

accounts for the largest share of green house gases4 which is associated with global

warming; Due to the erratic supply of electricity in 7igeria4 there is widespread

operation of a wide range of power generating euipments4 which e$acerbate the

environmental conseuences of /o% emissions; /onseuently4 per capita /o% emission

increased from %8N in 1BB, to a constant rate of %N between %88, and %818; This

indicates a decline in environmental protection activities and awareness over the

period;


42/71

*%

The proportion of the population with access to improved water source

fluctuates between *8N and *BN between 1BB, and %888; >y %8884 it rose to ,5N4

and thereafter declined to *N in %88B; &ccess to safe drin:ing water in the urban

area declined from 5N in 1BB, to .'N in 1BB,4 rising from there to *N in %88,;

4 %81% AD-4 %885 MDG+4 %811);

Goal ), Deelo5 a Glo7al Pa0tne0+hi5 >o0 Deelo5ment

This goal aims at developing partnership between developed and develo

countries through fficial Development &ssistance (D&)4 debt relief4 mar:et ac

information and communication technology4 as well as developing strategies for y

employment; resently4 the level of 7igeria’s e$ternal indebtedness has been drasti

reduced after e$iting from the costly debt burden of the aris clubs in %88.; This m

brea: through in 7igeria’s uest for debt relief involved an agreement reached with

club4 which saw it gaining 63P 1 billion in debt cancellation (about .8N of the

amount owed the club) at the price of 63 P 1%;* billion repayments; &t present4 7ige

e$ternal debt is about 63 P*; billion as against 63 P '';% billion in 1BB, (3ee Table

&ll these4 probably4 can enhance the country’s prospects of meeting the MDGs; -n the s

vein4 #$ternal debt as a proportion of e$ports of goods and services declined from .,;

in %88B to ,'N in %818 (MDG +eport4 %818 Aorld >an:4 %811); The proportio

e$ternal debt to GD dropped from ,B;%N in %88B to '*N in %818; Debt service payme

a proportion of GD declined from 1'N in 1BB, to %;.N in %885 (Aorld >an:4 %88


43/71

*'

depicting an increasing difficulty and inability to fulfill debt obligations during t

periods; 0owever4 with increased commitment thereafter4 the ratio rose to 18;%N in %

(Aorld >an:4 %885); #$ternal Debt service as a proportion of e$ports showed a decr

from %%;.N in 1BB, to 18;%N in %811;

TABE !.: N#GER#AS ETERNA DEBT PROF#E -US M##ON/ -1

2;11/

Yea0 Total M6ltilate0al Pa0i+ Cl67 on4on Cl67 P0omi++o0 Note+ Othe0

1::& ''15B;8 '*,;1 1515%;1 ,B'.; *,,8;8 1.5,;8

1::' '''.*;, '.,8;8 155B%; ,B;, **5;B 1*,*;

1::( %5,**;1 ,1;8 1.*'';B %1%8;8 '%*.;8 1%%.;%

1::) %51;% '.B*;5 11.8;, %8,,; '1,B;B 1.*5;

1::: %B*%;B **8%;' 1''*;' %8,5; '15;% 1*,.;

2;;; '%,*; **11;8 %1..B;. %8*,;8 '1*;8 1'11;%2;;1 %8.8;8 *..,;8 1B8B1;8 %8*';8 %1*8;8 1%1;8

2;;2 %585; *'5%;5 1B8;* 1.1%;, 1.1%;, 5B;%

2;;! %55';, *%'5;8 %8%B;B %8*';8 1,B5; .,;

2;;% %8..;B 'B'';' %8,'*;' %8*';% 1*.; .B;'

2;;& %%5';5 '*.8;8 %118;8 %8*';% 1**.;5 1*%;

2;;' %'*5;8 %5B5;B %%8B%;B %8*';% 1%B1; 1%1;%

2;;( '8BB8;8 %B,B;B %*8B%;B 1**1; 11,';% ,,;.

2;;) ',B%8;8 '8*8;8 %5*58;8 1**8;8 B18 ,8

2;;: ',B,8;8 %%8;8 '8,8;8 1**8;8 58 ,8

2;1; '5,88;8 %%8;8 '1888;8 1**8;8 58 ,82;11 **5;8 %588;8 " 1**8;8 .88 188

So609e, ,e 3N Debt $anagement 7ffice cited in OIeIe -2;11) E %conomy unfol

layers of *eforms8.

>esides4 the 7et fficial Development &ssistant (D&) to 7igeria has remar:

improved from 63 P 15* million to 63 P .*'5 between %88, and %818; (Aorld >

%811!'*B); The ratio of aid to gross capital formation (G/


44/71

**

%88, to '1;%N in %818 while a total of 63 P ,B..;' million was also received from

ma=or Development &ssistant /ommittee donors in %811;

-n spite of these developments4 the problem of mar:et access for product

developing countries4 including 7igeria4 persists; #vidence from Aorld >an: (%

showed that the share of &frican regional trade bloc in total Aorld e$port4 inclu

#/A&3 where 7igeria belongs is not up to 1N; &n increasing share of 7igeria’s e$

goes to sub"3aharan &frican countries due to the unfavourable e$ternal mar:ets in

industrialized countries;

0owever4 there is a considerable cooperation with private sector in the provisio

information and communication technology (-/T) in 7igeria; Teledensity (telephone l

per 1888 persons) rose steadily from 8;*,N in %88' to 1,;5%N in %818 (Table

3imilarly4 total number of telephone lines as well as number of mobile phone lines

witnessed an impressive trend over the period; This significant increase is due to

deregulation of the telecommunication sector and the subseuent introduction of the Gl

3ystem of Mobil /ommunication (G3M) in %88.;


45/71

*,

!.! ENTREPRENEURSH#P DE$EOPMENT AND M#ENN#UM

DE$EOPMENT GOAS #N N#GER#A

3cholars have documented enormous evidence which points to the fact that

e$treme poverty is predominant in rural areas (-


46/71

*.

second4 the public service that reach the poor4 third4 the flow of goods and services to

meet the needs of all members of households4 and fourth4 the participation of the poor

in ways in which their needs are met (Iadgerwood4 %888);

The targeting approach reuires the directing of poverty alleviation

programmes to specific groups within the country; /omponents of the approach

include micro"credit4 school meal4 medical care4 safety nets4 and public wor:s

programmes; The approach reuires proper identification of the target group for

effective targeting; The employment Joriented target emphasizes employment

promotion as the principal means of spreading the benefits of economic development

more evenly throughout the economy; The pace growth ob=ective was modified so as

to ma$imize not only output4 but also the rate of labour absorption;

&chieving sustainable poverty reduction and broad"based economic growth

depends on enabling poor men and women to transform their livelihood; The poor

need to be given a chance to build their individual and collective s:ills and capabilities

in order to gain access to economic opportunities and basic social services and

infrastructure; Iac: of a virile entrepreneurial institution ma:es it difficult for the poor

to e$ploit opportunities within their communities and to develop lin:s with e$ternal

partners (-


47/71

*5

&ccording to 67D (1BBB)4 entrepreneur is the process of using private

initiative to transform a business concept into a new venture or to grow and diversify

an e$isting venture or enterprise with high growth potential; There is a wide"spread

opinion that national or regional economic development is associated with new firm

creation intensity (enesaar and Ioomets4 %88.); 7ew firms formation is considered

as an important indicator of entrepreneurial activity and :ey component in economic

growth and development; #ntrepreneurs identify an innovation to seize an opportunity4

mobilize money and management s:ill4 and ta:e calculated ris:s to open mar:ets for

new products4 processes and services (0arper4 %88');

!.% PROBEMS OF ENTREPRENEURSH#P DE$EOPMENT #N N#GER#A

The :ey roles of entrepreneurship include mobilization of domestic savings for

investment4 significant contribution to Gross Domestic roduct (GD) and Gross

7ational -ncome (G7-)4 harnessing of local raw materials4 employment creation4

poverty reduction and alleviation4 enhancement in standard of living4 increase in per

capital income4 s:ills acuisition4 advancement in technology4 e$pert growth and

diversification; -rrespective of the benefits associated with entrepreneurship4 there are

lots of barriers that have prevented youths from fully realizing their potentials and

assuming responsibilities in the society;

!.%.1 A7+en9e o> #n>0a+t069t60al Fa9ilitie+

-t is a universal belief that certain basic infrastructural facilities aid the

development of the mind and body and assist productivity in any environment; These

facilities have been identified as good roads4 good water supply4 constant power4

access to information and communication technology and other tools of trade; & case

where these are lac:ing in a country4 the growth of the economy will be adversely


48/71

*

affected; -n 7igeria4 these basic wor: tools as well as the enabling environment is

lac:ing; This state of affairs has frustrated a lot of young people with bright ideas and

the corresponding spirit to effect a change in some areas of our national life;


49/71

*B

availability of capital4 says nwubi:o (%811) is central to the establishment and

continued e$istence of any enterprise irrespective of the size4 focus and ob=ective; -t

has been observed that for an entrepreneur in 7igeria to start a business4 he must have

adeuate funds; -n a situation where the wor:ing capital is inadeuate or unavailable4

it becomes a problem; This is one of the ma=or4 if not the ma=or problem that young

people encounter when opening a business; >an:s are before now reluctant to give out

loans to intending entrepreneurs especially when they are young people; The

procedures for accessing such credits are often rigorous and dependent on the

provision of collaterals which the potential entrepreneur 7:echi et al; (1BB5) may not

possess;


50/71

,8

events around and about him4 education becomes a critical factor in preparing and

empowering the entrepreneur with the ualities reuired of him;

6nfortunately4 the role of education in forming young people to become

change agents it seems4 have been ignored; 9ear after year4 the uality of education in

the 7igerian institutions has gradually been on the decline4 due to mass e$odus over

the years by ualified teachers; Those stuc: in the system are there due to

unavailability of alternative =obs; Government policy or lac: of one has been a ma=or

bane of education in 7igeria; The schools are not adeuately funded4 euipped4

regulated and managed to bring out their optimum potentials; Most times students are

home due to stri:es; Most people in government send their ward abroad for their

education thereby preventing the will to address the urgent need for the sector; The

result is a half"ba:ed wor:force who are lac:ing in personal confidence and desire to

loo: within and ma:e a mar: in an area of human endeavour;

!.%.% a9I o> A4eJ6ate T0ainin=

& regrettable conseuence of the immediate foregoing is the absence of

adeuate training for students such as will 1BB4 enable them meet the challenges of

the future as leaders of business and change agents; -t has been observed that the

educational curriculum in 7igeria focuses more on the theoretical without a

corresponding practical approach; Most employers are always compelled to retrain

their employees due to lac: of :nowledge of basic wor: ideas or familiarity with the

area of study of the employee;

Technology has been used to improve the uality of life through the use of the

computers and other technological discoveries such as the internet; Ahere the youth

does not have the :nowledge or s:ill of the latest technology4 it affects their outloo: to


51/71

,1

life; -t is surprising that in this age and time when the computer and the internet are

ta:en for granted in so many parts of the world4 the reverse is the case in 7igeria;

#$cept for the cities4 the internet and other -/T are not available in the rural areas

where ma=ority of the 7igerian youth are located; This situation denies these people an

alternative means of s:ill acuisition4 information gathering and other advantages

associated with the Aorld Aide Aeb; This has resulted in a situation where employers

prefer to ta:e people with on"the" =ob e$perience and reuired s:ills thereby ma:ing it

impossible for the young person’s to gather the much needed e$perience4 s:ill4

familiarity with

a wor: environment and basic contacts and networ: to pioneer a successful enterprise

of a business or non business nature; Ahere some of these basic trainings are offered4

they are usually directed at the employees of big businesses considering the e$orbitant

fees charged by the institutions or bodies providing same; Aith little or no money to

spare4 young people often miss these opportunities to euip themselves mentally and

otherwise for the assumption of entrepreneurial roles; This also results in low morale4

inefficiency and lac: of confidence;

!.%.& Othe0 E9onomi9 So9ial an4 Politi9al Fa9to0

&side from the factors listed above4 there are other ma=or dynamics which play a

role in stifling the dreams and aspirations of the youth towards assuming

entrepreneurship positions; #conomic factors such as policy reversals4 high and

double ta$ations4 difficulty in procuring business approvals4 high inflation and

unstable e$change rates are some of the areas of concern for the potential entrepreneur

who is in most cases a greenhorn; The cost and procedure for establishing a company

is rather prohibitive as the intending entrepreneur must engage a solicitor and


52/71

,%

accountant to ta:e care of the legal and financial aspects; olitically4 some of

government’s policies it seems are made to favour friends and associates; #ven when

it comes to award of contracts and other government patronages4 cronyism is the

word; This creates a situation of uneven advantage to certain people while others are

meant to loo: li:e mediocre irrespective of pedigree4 ability and e$pertise;

ne cannot complete this without mentioning the social malaise of systemic

corruption which dissuades most people from venturing into enterprises; -t seems most

times that whatever one needs to do must be coupled with some :ind of favour to the

person or authority granting the approval; This situation is almost frustrating and has

:ept many away from entrepreneurship with many youth preferring to be engaged in

paid employments where they will be certain of pic:ing their pay pac:ages at the end

of every month without the worries associated with running a business (nwubi:o4

%811);


53/71

,'

CHAPTER FOUR

DATA PRESENTAT#ON AND ANAYS#S

-n the previous chapters4 Millennium Development Goals (MDGs) and

entrepreneurship development was discussed theoretically; This was to elucidate the

need for the diversification of the 7igerian economy into the diverse sector and sub"

sectors of entrepreneurship4 to achieve growth and development in %81,; This chapter

will e$amine the impact of MDGs on entrepreneurship development empirically4 to

achieve this the study employed multiple regressions analysis to e$plain the changes

in the dependent variable resulted from the change in the independent variables; The

dependent variable for this study is #ntrepreneurship -nde$ (#-) while the independent

variables are overty +ate (+)4 rimary 3chool enrolment (3#) and #$ternal

Debt (#D) used as a pro$y for MDGs documentation policy considering Goal 1

(#radication of #$treme overty and 0unger)4 Goal % (&chieve 6niversal rimary

#ducation) and Goal (Develop Global artnership for Development) respectively;


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%.1 DATA PRESENTAT#ON

The data used for the empirical analysis covers the study period of (1BB1 " %811)

which were collected from secondary sources; The table below shows the data used

for the analysis of the study;


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,,

Ta7le %.1, Shoin= Ent0e50ene60+hi5 #n4e? Poe0t Rate P0ima0 S9hool

En0olment Rate an4 E?te0nal De7t >0om 1::1 to 2;11 in Ni=e0ia

9ear #ntrepreneurship

-nde$ (N)

-E#/ Y

overty +ate (N)

-P$R/ 1

rimary 3chool

#nrolment (N)

-PSE/ 2

#$ternal D

(N)

ED

1BB1 B;%1 ,*;* *8;' *%;1

1BB% B;B ',;% *% ';1

1BB' 18;. 'B;* ';1 '5;%

1BB* 18;' *%;8 '5;% '8;*

1BB, 11;** ,*;' '8;* %B;%B

1BB. 1%;5 .8;* %B;%B '%;*.

1BB5 1%;% 5%;1 '%;*. '8;*

1BB 1';, 5.; '8;* '%;*

1BBB 1*;.5 .5;. '%;* '*;.

%888 1,;'% .1;. '*;. '.;1

%881 1B;, .'; '.;1 *%;8

%88% %1;B1 .,;5 *%;5 ,*;B

%88' %;.* .';* ,*;B ,.;,

%88* %5;% ..;B ,.;, ,,;5

%88, %';1* .8;% ,,;5 ,*;

%88. %';,5 .5;1 ,*; ,';'8

%885 %B;5 ,;, ,';' ,';'

%88 %B;55 ,*;* ,';' ,';*

%88B '1;. ,*;* ,';* ,;B%

%818 %;1 ,%;. ,,;1* ,.;'

%811 '%;5* ,8;8 ,;B% ,,;%

So609e, 1; 3entral ban! of Nigeria (3N) statistical bulletin 9ol. 1:4 2011

). National ureau of Statistics (2011)

%.2 MODE SPEC#F#CAT#ON


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The rdinary Ieast 3uare (I3) method is used for the estimation of the

parameters in the model to show the relationship between the independent variables

and the dependent variable; The model is given as

#- U f(+4 3#4 #D) given as

9tU L V L1 P9*1t V L% PS% %t V L! %;D't < t

9tU LV L11tV L% %t V L''t t

The parameters to be estimated are L4 L14 L% and L';

Ahere

9tU #- U #ntrepreneurship -nde$

1tU + U overty +ate (Goal 1)

%tU 3# U rimary 3chool #nrolment (Goal %)

'tU #D U #$ternal Debt (Goal )

t e00o0 te0m

%.! MODE EST#MAT#ON


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LV L 11tV L%%tV L''t t4 the parameters to be estimated are L4 L14 L% and L'; Ae

compute this using a statistical software program :nown as #"views;

Yt


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,

used in determining the e$planatory power of +4 3# and #D on #- using the

rdinary Ieast 3uare (I3) method (Ku=arati4 %88,);


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,B

H5othe+i+

Ho! parameters U 8 (L; L1 L% and L!/

H1! parameters X 8 (L; L1 L% and L!/


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.8

H1, parameters X 8 (L; L1 L% and L!/

The relationship for computing T"test is given by

TQU Lo2s(Lo) U "8;..

TQU L12s(L1) U "1;85.

TQU L%2s(L%) U ;'5

TQU L%2s(L %) U ,;,.

tZ2% (t8;8,2%) with the degree of freedom Ae compare our calculated t(tQ) with the

theoretical t (t8;8,) at ,N level of significance for two tailed;


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.1

1 U*"1U'4 and % U %1"* U 154 therefore4 from our statistical table (' and 15) U *;*B

08! [8 U [1U [% U [' U8

01! [8 X [1X [% X ['X 8

De9i+ion 90ite0ia

-f


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.%


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The coefficient of ' is also positive (8;5.) this shows a direct relationship

between the entrepreneurship inde$ and the e$ternal debt4 which is also the th goal of

the MDGs4 Therefore4 a unit increase in e$ternal debt owned4 will increase the growth

in entrepreneurship development;

The coefficient of multiple determinations + % is used to test the e$planatory

power of the independent variables on the dependent variable; The + % obtained from

the regression result is 8;B1 or B1N; This implies that B1N of the total variation in the

e$plained (dependent variable) is determined by the e$planatory (independent

variables); Ahile the remaining BN is due to error term4 i;e; other factors outside the

model; 0ence we can conclude that there e$ists a very strong positive relationship

between the dependent variable entrepreneurship growth inde$ and the independent

variables;

The standard error estimates enable us to decide whether or not the estimates

of Lo4 L1 L% and L! are significantly different from zero;


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3ince the TQ \ T8;8,4 for Z% and Z'4 Therefore Z% and Z' are statistically

insignificant;

The F


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poverty incidence was *8;1 per cent compared with rural poverty incidence of .8;. per

cent;

7igeria was one of the richest fifty countries in the early 1B58s; 3he has

retrogressed to become one of the poorest countries at the threshold of the twenty first

century (-gbuzor4 %885); Despite the abundant natural resources in the country4

statistics show that the incidence of poverty using the rate of 63 P1 per day increased

from %;1 per cent in 1B8 to *.;' per cent in 1B, and declined to *%;5 per cent in

1BB%4 but increased again to .,;. per cent in 1BB. and stood at,5;* per cent in %88*

(7ational >ureau of 3tatistics %88,); The rural dwellers constitute .8;. percent of the

7igerian population; The country fares poorly in all development indices; The average

annual percentage of growth of GD from 1BB8"%888 was %;*; This is very poor when

compared to Ghana (*;') and #gypt (*;.); 7igeria is also one of the twenty countries

in the Aorld with the widest gap between the rich and the poor (-gbuzor4 %885); & Gini

inde$ of zero represents the perfect euality and 7igeria has the highest Gini inde$ in

the world; The Gini inde$ for 7igeria is (,8;.)4 as against -ndia ('5;)4 Lamaica ('5;B)4

Mauritania ('5;') and +wanda (%;B) in %88* (0uman Development +eport4 %885);

0owever4 the Millennium Development Goals (MDGs) are set of

developmental target aimed at effecting measurable improvement in the life of the

world’s poorest countries li:e 7igeria; There are basically () goals namely!

Goal"1! #radicate e$treme poverty and hunger

Goal"%! &chieve universal primary education

Goal"'! romote gender euality and empower women

Goal"*! +educe child mortality

Goal",! -mprove maternal health


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Goal".! /ombat 0-2&-D34 malaria and other diseases

Goal"5! #nsure environmental sustainability

Goal"! Develop a global partnership for development

-n line with 7igeria commitment to the MDGs4 the federal government has

ta:en concrete steps to integrate these goals into its policy planning and

implementation framewor:;


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This research so far has e$amined MDGs documents policy and

entrepreneurship development in 7igeria; -t too: a close loo: on the role MDGs

documents in empowering entrepreneurship and as well as it contribution social

economic development and growth of the country; The study revealed that

entrepreneurship has a great potential in alleviating poverty in 7igeria and it has been

the ma=or source of advancement to many advanced nations and has contributed

significantly to the Gross Domestic roduct of these countries4 the need for MDGs

documents becomes necessary; -n 7igeria4 it is regarded as a priority aspect owing to

it potentials to provide sustainable development4 and increase economic growth rate;


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Ade=uate #unding and -reater Private Sector nvolvement

ne of the causes for the present poor condition of 7igeria’s infrastructure is lac:

of investment in new capacity4 new technologies4 and maintenance; -t is important that

the Government commits to a long"term and consistent funding of the costs of

improving and maintaining the various infrastructures; roviding new sources of

funding for power4 transport4 water and sanitation from other sources will reduce the

demands on the budget; The Government and /entral >an: should also ta:e steps to

increase the depth and liuidity of 7igeria’s capital mar:ets in order to facilitate the

ability of the private sector to raise finance for investment in infrastructure; The failure

of e$isting public enterprises to manage public facilities and services is well

appreciated; Government should deregulate more in the power4 road infrastructure4

and oil and gas industry and intervene more where the private sectors are dominant

but not doing well such as in the public transport sector; Greater involvement by the

private sector in managing operating the power sector through ublic rivate

artnership () will help to address some of the evident failings of current

provision; The public sector will retain a planning and supervisory role of the new

forms of contract4 and new bodies such as the -nfrastructure /oncession +egulatory

/ommission will assist with effective implementation of the Government’s policy; The >ureau of ublic #nterprises is doing well in managing the privatization

agenda of the government at the federal level; This should be replicated at the state

and local government levels for efficiency and productivity in critical sectors;

-reater ransparency and -ood -overnance

The country needs to be more transparent in her way of doing business; There

should be regular monitoring and audit of government’s progress in implementing the


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vision in all sectors and investing more on infrastructure in the critical sector of the

economy in order to ensure that public money is being well spent and that the public

are paying a fair price for the services that are being provided; Ministries and other

public bodies should be held accountable for their performance against the ob=ectives

of the %8!%8!%8 ision; &t the moment4 many ministries4 departments and agencies

(MD&s) in the country have not audited their accounts for years and this is not good

enough for a nation that aspires to be among the top %8 nations in the ne$t nine years;

Good governance and proper devolution of power to the grassroots must be enshrined

in the day to day business of the government; The people should also have a voice in

the way they are governed especially in the area of infrastructural development; The

recently passed freedom of information bill is a welcome development; &ccording to

most accounts the government of 7igeria is inefficient and corrupt;

Population 3ontrol

+apid growth of population in a developing nation li:e 7igeria is inevitable;

0owever4 the growth can be planned and sustained to achieve economic growth; loom4 /anning and


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58

7orth &merica and parts of 3outh &merica4 where family planning has been adopted

for population control4 the healthy balance between populations and resource stoc: is

a ma=or factor in their enviable standards of living and impressive economic

performances; /hina4 for its part4 with a population growth rate of 8;*B'4 has moved

rapidly into healthier development trends than countries such as -ndia and 7igeria4

where little is done on population control;

-t is either 7igeria deliberately controls her population or nature does it; &lready4

about ,, per cent of the 7igerian population lives on less than P1 per day4 this is one

of the highest poverty rates in sub"3aharan &frica; &t the level of government4 its

responsibilities centre on the provision of uality education to enhance uality human

capital4 uality health care and basic infrastructure;

&.! CONCUS#ON

The ma=or finding of the research wor: shows the impact of MDGs on

entrepreneurship development; The results of the paper are consistent with similar

results in both the developing and developed nations; The study has established that

investments in infrastructure both directly and indirectly significantly affect economic

growth in 7igeria; The research also shows a bi"directional relationship between the

variables; The output of the MDGs document policy is also considered as an important

determinant of output of other sectors with forward and bac:ward lin:ages in the

economy; The research paper further reports on the inter"sectoral lin:age effects of

MDGs and entrepreneurship in the economy;

The results of the study further shows that the current global economic

meltdown poses real threats to the 7igerian economy4 and places tremendous pressure


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51

on the achievement of the Millennium Development Goals; The sharp fall in the price

of oil4 and other fallouts of the global economic crisis4 have adversely affected4 and

would continue to affect4 all sectors of the economy4 at least in the medium run; oor

policy option (such as resorting to the -Man: loan) amidst this crisis may

throw the economy deeper into the avalanche of the crisis; The millennium

Development Goals4 which surfaced in %8884 are not new to 7igeria’s development

agenda; >efore %8884 all the eight goals now referred to as the MDG34 have been part

of the country’s development goals; 7igeria should first thin: of providing the

necessary infrastructure" good roads4 steady power supply4 good learning

environment(from primary to university level)4 well euipped hospitals4 and a

transparent and committed leadership4 etc; and reducing corruption4 then the MDG3

will be the upshot4 for without which achievement of the MDG 34 even after %81, will

remain a mirage;

economic empowerment of the youth (young graduates) through the nysc’s war against poverty (wap)...

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