THE NEXUS BETWEEN ECONOMIC DEVELOPMENT AND INDUSTRIAL GROWTH IN NIGERIA

The study examined the relationship between economic development and industrial growth in Nigeria. The data, set for this study consists of secondary time’s series data spanning from the period 1990-2021. The study made used of Granger Causality and Autoregressive Distributed Lag Model (ARDL) to explain the direction of relationship. The results shows that;the coefficient of determination (R²) showed the percentage of variations in the dependent variable that can be explained by the independent variables. The R² of 0.999379 or 99% showed that Economic development can be explained by changes in the explanatory variables as shown in the model and the remaining 1% is explained by the dummy variable. The F-statistic which measures the overall significance of the model indicated that it is significant at 5%. This is indicated by the F-statistics and its probability (1288.349 and 0.000000) respectively. The study therefore concludes that there is a significant contrition of industrialization to economic development in Nigeria. This study recommends among other things; That Government through her various agencies should formulate friendly industrial policy that will encourage investors in Nigeria, and by so doing, more industries will emerge and this will generate employment to citizensand that also Agriculture should be improve for industries to source for raw material internally that will help to increase production as well.