An Analysis of the Effect of Regional Disparities on Economic Growth in Nigeria
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Background of the Study
Regional disparities in Nigeria have long been a significant impediment to balanced national economic growth. Differences in infrastructure, education, healthcare, and investment across regions contribute to uneven economic development (Okafor, 2023). Regions with robust infrastructural networks and well-funded public services often experience accelerated growth, whereas areas with limited resources remain underdeveloped. This imbalance not only affects regional income levels but also perpetuates social and economic inequalities nationwide. Recent studies from 2023 to 2025 underscore that addressing regional disparities is essential for harnessing the full potential of Nigeria’s demographic and economic resources. Policymakers have introduced various initiatives to redistribute resources and promote inclusive growth; however, persistent challenges such as political favoritism, bureaucratic inefficiencies, and historical neglect continue to hinder progress (Akinola, 2024). This study explores the multifaceted relationship between regional disparities and overall economic growth. By analyzing factors such as infrastructure quality, public service delivery, and investment flows, the research aims to identify the key determinants that drive regional imbalances and to propose strategies for fostering more equitable economic development.
Statement of the Problem
Despite numerous policy interventions aimed at reducing regional disparities, significant economic imbalances persist in Nigeria. Regions with underdeveloped infrastructure and limited access to quality public services continue to lag behind more prosperous areas (Chukwu, 2023). These disparities are compounded by uneven investment patterns and policy biases, leading to a cycle of underdevelopment in certain regions. The resulting regional inequality not only undermines national economic growth but also fuels social discontent and political instability. The failure to achieve balanced development highlights the need for a critical reassessment of current resource allocation and policy implementation strategies. This study seeks to pinpoint the factors that perpetuate regional disparities and to offer policy recommendations for a more balanced economic growth trajectory (Uche, 2024).
Objectives of the Study:
• To examine the relationship between regional disparities and economic growth.
• To identify the key factors that exacerbate regional inequalities.
• To recommend policy measures to promote balanced regional development.
Research Questions:
• How do regional disparities affect overall economic growth in Nigeria?
• What are the primary drivers of regional inequalities?
• What policy interventions can reduce regional disparities?
Research Hypotheses:
• H1: Regional disparities negatively impact national economic growth.
• H2: Inadequate infrastructure and public services are key drivers of regional inequality.
• H3: Targeted policy interventions can significantly reduce regional disparities.
Scope and Limitations of the Study:
The study focuses on comparing regions with varying levels of development. Limitations include disparities in data availability and potential bias in regional reporting.
Definitions of Terms:
• Regional Disparities: Differences in economic development and quality of life between regions.
• Economic Growth: The increase in economic output and improvement in living standards.
• Inclusive Growth: Economic growth that benefits all segments of society.
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