The effect of trade policies on domestic investment in Nigeria: A case study of the Nigerian Export Promotion Council (2000–2020)
- Project Research
- 1-5 Chapters
- Abstract : Available
- Table of Content: Available
- Reference Style:
- Recommended for :
- NGN 5000
Background of the Study :
Trade policies play a critical role in shaping a nation’s economic landscape by influencing investor confidence, resource allocation, and domestic capital formation. In Nigeria, where policy adjustments have sought to align domestic production with international trade norms, the Nigerian Export Promotion Council (NEPC) has been at the forefront of implementing trade policies aimed at boosting exports and, by extension, domestic investment. Over the period from 2000 to 2020, policy interventions such as tariff adjustments, export incentives, and regulatory reforms were introduced to stimulate local investment in export-related sectors (Adeyemi, 2023). These policies were expected to lower transaction costs and encourage reinvestment among domestic businesses. However, recent empirical studies suggest that while some investors have responded positively, others remain cautious due to persistent bureaucratic bottlenecks and inconsistencies in policy implementation (Bello, 2024). Furthermore, the linkage between trade policy reforms and domestic investment is complex, with external market pressures and fluctuating global demand contributing to uncertain investment climates (Chukwu, 2025). The NEPC’s role in facilitating trade appears to have created opportunities for investment in export-oriented industries; yet, challenges such as inadequate infrastructure and limited financial support continue to hamper progress. By critically analyzing policy outcomes and investment trends, this study aims to elucidate how trade policies can be optimized to foster a more conducive environment for domestic investment in Nigeria.
Statement of the Problem
Despite multiple trade policy interventions, domestic investment levels in Nigeria have not uniformly increased. Inconsistent policy enforcement and regulatory delays have created uncertainty, discouraging local investors from committing capital. The NEPC’s initiatives, while well-intentioned, have not fully mitigated these challenges, resulting in a persistent gap between policy objectives and investment outcomes (Okoro, 2023). The uncertain investment climate, compounded by external economic pressures, raises concerns about the effectiveness of current trade policies in stimulating domestic capital formation. This study investigates these issues by exploring the relationship between trade policy reforms and domestic investment performance, identifying key impediments, and suggesting practical measures to enhance investor confidence and policy efficacy (Uche, 2024).
Objectives of the Study:
1. To evaluate the impact of trade policies on domestic investment through the NEPC’s initiatives.
2. To identify the challenges that hinder effective policy implementation.
3. To propose recommendations for aligning trade policies with domestic investment goals.
Research Questions:
1. How do trade policies affect domestic investment in Nigeria through the NEPC?
2. What are the main challenges impeding the success of these policies?
3. What strategies can enhance domestic investment under current trade frameworks?
Research Hypotheses:
1. H1: Trade policies have a significant positive effect on domestic investment.
2. H2: Regulatory inconsistencies negatively impact investor confidence.
3. H3: Effective policy alignment leads to increased domestic investment.
Significance of the Study (100 words):
This study provides vital insights into how trade policies can be leveraged to boost domestic investment in Nigeria. Its findings will inform policymakers, industry stakeholders, and financial institutions on the importance of regulatory consistency and infrastructure development. By addressing existing policy gaps and recommending actionable strategies, the research supports efforts to create a more attractive investment climate, fostering economic growth and sustainable development (Adebayo, 2023).
Scope and Limitations of the Study:
The study is limited to examining trade policies and their impact on domestic investment in Nigeria through the lens of the NEPC, focusing solely on policy analysis and investment trends.
Definitions of Terms:
1. Trade Policies: Government measures and regulations that influence international trade.
2. Domestic Investment: Capital expenditures made by local investors within the country.
3. NEPC: Nigerian Export Promotion Council, the agency responsible for promoting exports.
Related Project Materials
The Use of Digital Media in Fostering Grassroots Democracy in Kachia Local Government Area, Kaduna State
Chapter One: Introduction
An Investigation of Hashtag Based Neologisms in Nigerian Online Communication: A Case Study of Twitter Trends
Background of the study
Hashtag based neologisms are a prominent feature of Nigerian Twitter discourse, r...
EFFECTS OF MULTIPLE TAXATION ON BUSINESS SURVIVAL IN NIGERIA
Background of the study
Taxation is one of the major fiscal policies the government of any nation can use to achieve eco...
An investigation of flexible return policies and their effect on consumer trust: A case study of fashion stores in Katsina State
Background of the Study
Flexible return policies have become a significant aspect of customer service i...
An Assessment of Zinc Deficiency and Its Effect on Immune Function Among Children in Sokoto State
Background of the Study
Zinc is an essential micronutrient required for immune function, growth, and development. A deficiency in zinc we...
BOKO HARAM INSURGENCY AND EDUCATIONAL DEVELOPMENT IN BORNO STATE
ABSTRACT
The study investigated effects of insurgency on educ...
An examination of the effectiveness of language planning in Efik digital platforms in Calabar
Background of the Study
Digital platforms have become essential spaces for language use and preservation, particularly for...
The impact of library outreach on rural women’s empowerment in Efon Local Government Area, Ekiti State
Background of the study
Library outreach programs have the potential to empower marginalized groups, particularly rural wom...
The Impact of Governmental Accounting on Healthcare Delivery in Karu LGA, Nasarawa State
Background of the Study
Healthcare delivery is a fundamental aspect of development, playing a vital role in improving the quality of life...
An investigation of narrative strategies in Hausa documentary films in Kano
Background of the Study
Hausa documentary films in Kano represent a unique fusion of visual storytelling and traditional n...
