Industrialization and employment generation among manufacturing industries in Nigeria between (1985-2015)

Abstract

The research work focused on industrialization and employment generation among manufacturing industries in Nigeria between (1985 and 2015). The study set three major objectives which include; examining the relationship between industries contribution to Gross Domestic Product and employment rate, determining the effect of increase in numbers of industries on employment rate, and also determining the relationship between export rate and employment rate. The study was carried out using secondary data sourced from Central Bank of Nigeria Statistical Bulletin and National Bureau of Statistics annual reports. Data on Gross Domestic Product and employment generation were collected. E-view8 application package was used to analyze the data. The regression probability value 0.0015means that industrialization had no significant impact on employment in Nigeria. The contribution of industries to Gross Domestic Product on employment rate has a positive influence and both are statistically significant. Moreover, the regression result revealed positive relationship between export rate and Employment rate. The coefficient of Determination indicates r2=0.902890. Industrial sector should be revived, promoting new idea to invest more in producing locally made goods, encouraging exportation across countries; increasing employment rate. Also, the probability value 0.9491of increase in industries on employment rate means that industrialization has not had significant impact on employment in Nigeria. Concluding with present situation of the country now, inflation made many companies fold up, as a result of restriction from credit supplies, channeled to downsize and result to unemployment and poverty in the country, therefore industries contribution, export rate and increase in numbers of industries plays a functional role of generating employment in the society.