Evaluating the Role of Public Enterprises in Nigeria's Economic Growth
DOI:
https://doi.org/10.24191/jas.v22i2.2966Keywords:
Public Enterprises, Economic Growth, Nigeria, Government-Owned Enterprises, Institutional ReformsAbstract
This study assesses the role of public enterprises in Nigeria’s economic growth, acknowledging their historical purpose to drive development in key sectors. However, their performance has been hindered by inefficiency, corruption, and poor management. Using Institutional Theory, the research explores how formal structures, governance frameworks, and informal norms shape the operations and outcomes of these enterprises. The study adopts a qualitative methodology, analyzing government reports, policy papers, and academic literature. Findings reveal that institutional weaknesses such as regulatory capture, lack of accountability, and politicization of leadership have obstructed the effectiveness of public enterprises. Nevertheless, the research identifies instances where institutional reforms, autonomy, and adherence to corporate governance principles led to improved performance and sectoral contributions. The study emphasizes the need for aligning institutional frameworks with the objectives of public enterprises to boost their developmental impact. It concludes that while public enterprises can drive economic growth, their success depends on institutional coherence, transparent regulatory oversight, and a shift from politically driven management to performance-based systems. The study contributes to the discourse on public sector reform in Nigeria and provides policy recommendations aimed at strengthening institutional structures to improve the performance of public enterprises.
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