Empirical Analysis of the Impact of Agricultural Productivity on Economic Growth in Nigeria

Abstract

This study analysed the impact of agricultural productivity on economic growth in Nigeria. Its sourced times series data from Central Bank of Nigeria Statistical Bulletins and World Bank Development Indicators for the period of 1990-2024. The study employed descriptive statistics which revealed that the data are non-normally distributed. The ADF result for unit root test showed that all variables are stationary at first difference and Granger causal test revealed that there is uni-direction between agricultural output and economic growth in Nigeria. Also, Johansen cointegration test result indicated that the trace and maximum eigenvalue statistics proved long-run relationship existed between agricultural output and economic growth in Nigeria. Furthermore, the estimated contemporaneous structural parameters have shown that there is a positive relationship between population growth and agricultural productivity in Nigeria. The estimated long-run equation indicates that agricultural productivity had a positive and significant impact on economic growth in Nigeria. hence, this study recommended that Federal Government should create of an enabling environment for increase in human capital in Nigeria through increased budgetary allocation to the education sector of the economy, government and the non-governmental organizations are advice to organize training and retraining for those involved in agricultural activities, and private sector should invest in education and skill acquisition of her large population for sustainably agricultural output in Nigeria