SULEIMAN ALADE ABDULWASIU

Accounting

At the Accounting department office

Appointment on Visitation important

#	Certificate	School	Year
1.	Ph.D (Accounting)	Lagos State Universit, Ojo, Lagos	2025

Public Expenditure and Real Sector Performance in Nigeria: Moderating Role of Government Effectiveness

Public expenditure has been an important component of fiscal policy adopted in discharging the fiscal functions of government. The utilization of public funds is expected to promote performance of the Nigerian economy via the real sector. Government effectiveness is an integral part of the dimensions of governance performance, which indicates the credibility of government’s commitment in discharging its fiscal obligations. Based on the foregoing, this study investigated the relationship between public expenditure, government effectiveness and real sector performance in Nigeria. More specifically, the study examined how economic service expenditure and socio-community expenditure, along with government effectiveness impact on sectoral performance, which includes industrial, agricultural and service sector performance (measured by the contributions to GDP). Adopting time series methodology, the study utilized datasets on the aforementioned dimensions spanning 28 years (1996-2023). Sequentially, empirical process includes unit root test (using ADF test), cointegration test (using bounds test), model estimation using autoregressive distributed lag (ADRL) modelling technique and post-diagnostic tests. Consequently, the study’s empirical outcomes reveal that industrial sector and agricultural sector performance significantly responded to economic service expenditure while the relationship between economic service expenditure and service sector performance appeared to be insignificant in a positive direction. Meanwhile, considering the moderating role of government effectiveness, public expenditure on economic services and socio-community services exerted significantly positive effect on performance of each of the industrial, agricultural and service sectors in Nigerian. The study suggests that government should allocate more funds for economic services especially in spectrum of transport, road and construction, innovation to accelerate the growth of the real sector, especially the service sector; The government should give strengthening capacities, reforming the institutions, and citizen participation in order to increase government effectiveness, thereby, enhancing the performance of the real sector. 

SULEIMAN ABDULWASIU is a Lecturer II at the Department of Accounting

SULEIMAN has a Ph.D in Accounting from Lagos State Universit, Ojo, Lagos