Background of the Study:
Political parties play a critical role in shaping public policy and steering economic development at the local level. In Esan Central Local Government Area, Edo State, the interaction between political party activities and local economic policies has garnered scholarly attention. Political parties, as vehicles for political expression and policy advocacy, have been instrumental in mobilizing resources, influencing fiscal decisions, and driving community development initiatives (Ibe, 2023). This study investigates how political parties contribute to the formulation and implementation of local economic policies that affect business growth, employment, and public welfare. The local political landscape is characterized by intense competition, patronage networks, and strategic alliances that often determine policy outcomes. Despite their potential to foster inclusive economic growth, political parties in the area have faced challenges such as internal factionalism, corruption, and external pressures, which compromise their effectiveness (Eze, 2024). Understanding the interplay between political party dynamics and economic policy-making is essential for improving governance outcomes and ensuring equitable development. Recent evidence suggests that strategic engagement of local parties with stakeholders can lead to more robust and sustainable economic policies (Oko, 2025). The study, therefore, aims to provide a comprehensive analysis of these dynamics, addressing gaps in existing literature and offering recommendations for enhancing the role of political parties in economic development.
Statement of the Problem:
In Esan Central Local Government Area, the role of political parties in driving local economic policies remains ambiguous. Despite their potential, political parties often experience internal conflicts and are influenced by patronage systems that hinder effective policy-making. This has resulted in economic policies that may not fully address local development needs. Furthermore, the absence of clear mechanisms for accountability and transparency within party structures has raised concerns about policy bias and misallocation of resources. These challenges necessitate an in-depth examination of how political party operations impact local economic decision-making and the ways in which these obstacles can be mitigated to promote a more equitable economic landscape (Okoro, 2023).
Objectives of the Study:
To evaluate the impact of political party activities on local economic policies in Esan Central.
To identify the challenges within political party structures affecting economic policy-making.
To recommend strategies for enhancing the role of political parties in fostering local economic growth.
Research Questions:
How do political parties influence local economic policy-making in Esan Central?
What challenges impede effective policy formulation by these parties?
What strategies can be implemented to improve their role in economic development?
Research Hypotheses:
H₁: Political party involvement has a significant effect on the formulation of local economic policies.
H₂: Internal party conflicts negatively impact policy-making efficiency.
H₃: Strengthening accountability mechanisms within parties will enhance local economic policy outcomes.
Significance of the Study:
This study is crucial as it sheds light on the critical role political parties play in local economic development. Its findings will help policymakers and stakeholders understand the internal challenges within parties and provide actionable recommendations to harness political forces for sustainable economic growth. The study also contributes to academic debates on political economy and local governance (Iwu, 2024).
Scope and Limitations of the Study:
Limited to the topic only.
Definitions of Terms:
Political Parties: Organized groups that seek to attain and maintain political power through elections.
Local Economic Policies: Strategies and regulations aimed at stimulating economic activities within a local government area.
Economic Development: The process of improving economic well-being and quality of life for a community.
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