AN EVALUATION OF THE IMPACT OF THE CONSOLIDATION OF THE INSURANCE COMPANIES ON THE ECONOMIC GROWTH AND DEVELOPMENT IN NIGERIA.

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Date
2011-06
Authors
AWWAL,YUSUF MOHAMMAD
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Abstract
The research carried out is on Evaluation of the impact of the consolidation of insurance companies on Economic growth and development in Nigeria. The main objective is to evaluate the impact of the Insurance Companies’ consolidation on the Gross Domestic Product (GDP) in Nigeria. The Econometric technique method of analysis was used. The econometric model was based on Capital Assets Pricing Model (CAPM). Relying on data collected an in depth analysis from 1988 to 2008 shows that the Gross Domestic Product (GDP) of the economy would increase by about 55 percent variation for a unit change in the consolidation policy while holding other economic variables constant. This scenario leads credence to the fact that consolidation policy has positive impact on the economic growth and development of the country if all structural bottlenecks to implementation are removed. It is also recognized that the impact of consolidation policy on insurance companies to achieve the desired economic growth and development may not be necessary contemporaneous, but long lived if properly managed-especially as capital projects and human activities tends to have long gestation periods. To achieve intermediate and long-term economic aspirations to make Nigeria among the 20th most industrialized countries of the world (FSS 2020), efforts should be directed to develop a modern, well-structured, efficient and competitive insurance sub sector that caters for the long term needs of the economy.
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YUSUF MOHAMMAD AWWAL M.SC/SOC-SCIE/06221/2006-2007 BEING A RESEARCH THESIS SUBMITTED TO THE DEPARTMENT OF ECONOMICS FACULTY OF SOCIAL SCIENCES AHMADU BELLO UNIVERSITY, ZARIA. IN PARTIAL FULFILMENT OF THE REQUIREMENT FOR THE AWARD OF MASTERS DEGREE IN ECONOMICS SUPERVISORS: DR ISHAYA AUDU PROF.(MRS) P.S.AKU JUNE 2011
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