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AN ANALYSIS OF THE TRENDS OF FOREIGN DIRECT INVESTMENT INFLOWS IN THE NIGERIAN CONSTRUCTION SECTOR

Format: MS WORD  |  Chapter: 1-5  |  Pages: 75  |  523 Users found this project useful  |  Price NGN3,000

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AN ANALYSIS OF THE TRENDS OF FOREIGN DIRECT INVESTMENT INFLOWS IN THE NIGERIAN CONSTRUCTION SECTOR

 

ABSTRACT

The construction sector occupies a focal position in the economy of any nation because it is an important contributor to the process of development (Aje, 2008). In the conduct of economic activities, the construction sector is always used by government as the stimulus for the buoyancy of the economy (Akindoyemi, 2011). The construction industry is therefore a critical factor or variable of progress in the drive for economic advancement of nations, especially Less Developed Countries (LDCs) such as Nigeria. Nigeria no doubt requires substantial amounts of foreign investment in the construction sector to speed up her economic growth most especially in the area of building and construction infrastructure/facilities investment and to promote development, which will in turn boost GDP. The significance of foreign capital for the provision of infrastructure development for both macroeconomic and microeconomic activities of the society, cannot therefore, be overemphasized Todero (2001) described infrastructure as the pillar of growth in Africa and it is generally inadequate and of poor quality when compared to developed nations of the world. Foreign capital has long been accepted as an inevitable input in the development process, given the fact that no country is an “island” with self sufficiency on her in terms of needed resources, to stimulate economic growth and development (Orji, 2004). This is a continuation from experience of some countries in South East Asia notably, Singapore, South Korea, Taiwan and Hong Kong (Ayo, 2008).

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