GOVERNANCE AND CORRUPTION IN NIGERIA: IMPACT ON IMAGE AND ECONOMIC GROWTH
Abdul-Maliq, Yekeen BSc, MSc, PhD (in view), ACIB.
Lecturer in Department of Banking and Finance,
University of Abuja, Nigeria. Tel. +2348a037770262
e-mail [email protected]
Abeleje, Kayode Richard BSc, MSc, ACA, ACIB.
Lecturer in Department of Accountancy,
Federal Polytechnic, Nasarawa, Nigeria. Tel +2348032299200
e-mail [email protected]
Abstract
This research work traces the origin and causes of corruption in Nigeria. It also empirically investigates the impact of corruption on the international image of the nation as well as on her economic growth using economic growth, proxied by GDP, as dependent variable and corruption, measured by Transparency International: the corruption perception index (CPI) as well as dummy proxy for civilian versus military governments, the research reveals that although corruption has been in Nigeria even before independence. The 1972 NEPD the largest impetus to its growth and entrenchment. Measuring the impact of FDI inflow international image (which should be sensitive to the country’s international image on GDP), the research reveals that CPI has not impacted on Nigeria’s international image as much as the CPI presupposes. The researchers opine that anti-corruption crusade in Nigeria will be more successful if pursued under financial and accounting paradigm rather than the immediate effect approach inherited from the military. The researchers therefore recommend the institution and institutionalization of forensic accounting/auditing as compulsory component of government accounting and reporting in addition to speedy conclusion of the privatization of all government managed enterprises as well as any sphere of the economy that fared better under private sector management before 1972.
Keywords: Accountability, Stewardship, embezzlement, budget-indiscipline.