Effect of budget deficit on fiscal administration in Nigeria
1990-2019 in focus
Keywords:
budget deficit, external debt, fiscal administration, foreign direct investmentAbstract
This study investigated the effect of budget deficit on fiscal administration in Nigeria for the periods of 1990-2019, incorporating the measures of budget deficit {namely; Budget Deficit (BD), External Debt (EXTD) and Foreign Direct Investment (FDI)} in relation to fiscal administration proxy with Total Government Expenditure (TGEXP). The study adopted Ex-post facto and Quasi Experimental design and the secondary source of data (time series data), from the CBN statistical bulletin and Annual Report for the period 1990-2019. Since the data for the study are annual time series data, the stationary and normality tests will be carried out in order to ascertain the set data will give accurate regression result. The study adopted a number of techniques of data analysis such as descriptive statistics, correlation and multiple regression tool of analysis. The findings revealed that Budget Deficit (BD), External Debt (EXTD) and Foreign Direct Investment (FDI) have insignificant effect on Total Government Expenditure (TGEXP). The study concluded that budget deficit has not significant effect on fiscal administration in Nigeria. Thereby recommend that deficit financing has negative significant impact on fiscal administration in Nigeria.
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