Our Archives

Call 08068929770 or 08122972656 for any enquiries.

Project Topic:

IMPACT OF PENSION FUND MANAGEMENT ON ECONOMIC GROWTH OF NIGERIA

Project Information:

 Format: MS WORD ::   Chapters: 1-5 ::   Pages: 70 ::   Attributes: Data Analysis ::   787 people found this useful

Project Body:

ABSTRACT

This study examined the impact of pension fund management on the economic growth of Nigeria. To achieve this research objective, relevant data were sourced from National Pension Fund (PENCOM) and National Bureau of Statistics (NBS) for the period spanning from 2009-2013. The study adopted Multivariate Linear Regression Analysis. Ex-Post-Facto research design was used for this study. The explained variable is Gross Domestic Product (GDP) proxy for economic growth, Pension Fund Investment (PFI), Income from Pension (IFP) and Pension Welfare (PW) are proxies for pension fund management, the explanatory variable. The study confirms our apriori expectation. The study showed that GDP depends positively on Pension Fund Innvestment (PFI) and Pension Welfare (PW) and negatively on Income from Pension (IFP), but all the explanatory variables were insignificant at 0.05 level of significant since their SPSS Sign P-value were greater than the chosen level of significant. The coefficient of determination R2 =0.982 (98.2%) showed that the estimated model has high explanatory/expandability (predictive) power. The Durbin-Watson statistic indicates the absence of autocorrelation in the model specified. Therefore, economic growth is not driven by pension fund management and that pension fund management has not significantly impacted on economic growth of Nigeria. The study therefore, recommends that individuals should be enlightened on the benefits of the pension schemes so that they will not take opposing actions against the goal of the pension reforms.    

 

CHAPTER ONE

1.0         INTRODUCTION

1.1         AN OVERVIEW OF THE STUDY

Business organizations all over the world, whether profit making or non-profit making is made up of either the human element or the material component. These vital parts separate work interdependently for the attainment of the organizational goals. Therefore, for organization to achieve its goals and objectives, the workforce must be duly motivated.

According to Ibe (2012), “The beauty of the struggle of labourer is in the eating of salaries or wages.” He further noted that the privilege of receiving pension and gratuity appear to be the greatest manifestation of the victory of a labourer after a long service to his or her employer.

It is paramount to note that even though the labourer earns wages or salary today, his concern should also be about tomorrow when he is no longer fit to carry on any productive activity. Mohammed (2012), stressed the importance for the average Nigerian worker to look for a pensionable job for stability of the employment contract. The labourer has to look forward to the enjoyment of a favourable welfare package when he leaves employment due to old age. With the institutionalization of pensionable employment, the attractiveness of any employment contract is being judged in terms of whether it is pensionable or not.

 Ibe (2012) says the rationale behind any individual entering the labour market is therefore hinged upon the nature of the job i.e. pensionable or non-pensionable jobs and this is governed by a set of parameters that he needs to make some assumption about their future value. They include:

  1. Change in the remuneration of the jobs.
  2. The rate of inflation.
  3. The prevailing interest rate in the economy.
  4. The size, survival, profitability, and future solvency of the employee.
  5. Profitability of major external destabilizing force (pension commission) 2012 pension fund act.

Ahmadu (2012) however frowned at the Nigerian pension scheme. He strongly criticized the pension system as:

  1. Overdependence on budgeting pension.
  2. Weak, inefficient and poor staffing/equipment and administration.
  3. Low compliance level from private sector.
  4. Inadequate pension.
  5. Delay in payment

The above problems therefore increase the call for a better pension fund administration which is service driven and pension oriented. The research work shall focus on the impact of effective management of pension fund in Nigeria economy.

 1.2         STATEMENT OF THE PROBLEM

The Nigerian pension system is bedeviled by enormous problem ranging from the failure of the scheme to contribute basic social security for the aged to the inadequacy of the administrators to effectively invest funds accumulated from pension scheme. The problems faced by the Nigerian pension commission (PENCOM) are as follows: channeling of pension fund to inappropriate investment source. This Ahmadu (2010) noted that Nigerian pension scheme is largely unsustainable due to the poor returns of investment, the proceeds of the pension scheme are not properly managed, the apparent low level of employment offered by the pension scheme. The National pension commission (PENCOM) as the regulatory body was weak in enforcing regulatory compliance, and the non transferability of pension benefit and poor record keeping. The above challenges vis-à-vis has negative impact on the economy therefore calls for the study.

Hence, this research work shall focus on the impact of pension fund management on the Nigerian economy with a view to achieving better service delivery for all pensioners in the nation.

1.3         OBJECTIVE OF THE STUDY

The broad objective of this study is to investigate the relationship between pension fund management and economic growth of Nigeria. The specific objectives are to:

  1. Examine whether pension fund investment leads to economic growth of Nigeria.

b. Determine the effects of income from pension on economic growth.

c. To determine whether economic growth is driven by pension welfare.

 1.4     RESEARCH QUESTIONS

Olannye (2006) defined the research questions as set of questions which the researcher hoped the entire study would answer. The study seeks to answer the following questions.

  1. Does pension fund investment lead to economic growth of Nigeria?
  2. Does income from pension fund have effect on economic growth of Nigeria?
  3. Is economic growth driven by pension welfare?

1.5     HYPOTHESES

Leedy and Ormrod (2000) defined research hypothesis as a topical supposition or reasonable guess, an educated conjecture that provides a tentative explanation for a phenomenon under investigation.

The research hypothesis is important because it guides the research in his/her thought process towards the solution of the research problems or sub-problems. The research hypothesis is developed from the research question and the main elements of the study are summarized in a form that established the form for testing, statistical and ultimately research significance, Sacket (2000).

The hypotheses for the research work are as follows:

H01: There is no significant relationship between pension fund investment and

economic growth of Nigeria.

H02: There is no significant relationship between income from pension and

economic growth of Nigeria.

H03: There is no significant relationship between pension welfare and

economic growth of Nigeria.

1.6     SCOPE OF THE STUDY

This research work is centred on the “Impact of pension fund management on the economic growth of Nigeria.” The study covers the performance of National Pension Fund, Nigeria over a period of five years (2009-2013).

1.7     SIGNIFICANCE OF THE STUDY

The study is expected to build on previous studies in the subject area of pension fund administration. It is also expected to serve as a base for future researcher who may want to drive into this area of study.

It is hoped that this study will help in the reform of PENCOM of Nigeria and to make it more efficient and effective as well as positioning it to global standard. Lastly, it is hoped that it will ensure non-interference of economic and political factors.

 1.8     LIMITATION OF THE STUDY


Get The Complete Project »

Project Department:

MORE ECONOMICS FREE UNDERGRADUATE PROJECT TOPICS AND RESEARCH MATERIALS

Instantly Share this Project On Social Media:

CLOSELY RELATED ECONOMICS FREE UNDERGRADUATE PROJECT TOPICS AND RESEARCH MATERIALS

IMPACT OF GOVERNMENT EXPENDITURE ON ECONOMIC GROWTH IN NIGERIA CHAPTER ONE

 Format: MS WORD ::   Chapters: 1-5 ::   Pages: 71 ::   Attributes: Secondary data, Data Analysis,Abstract  ::   3007 engagements

CHAPTER ONE INTRODUCTION 1.1. Background of the study Government Expenditure no doubt is an important instrument for a government to control the economy of a nation. Economists have been well aware...Continue reading »

IMPACT OF MACROECONOMICS VARIABLES ON FIRMS’ PERFORMANCE IN NIGERIA

 Format: MS WORD ::   Chapters: 1-5 ::   Pages: 59 ::   Attributes: Secondary data, Data Analysis, Abstract  ::   1964 engagements

CHAPTER ONE INTRODUCTION 1.1. Background of the study Every company operates within the internal and external environments of business. The internal environments are within a firm such that the pre...Continue reading »

IMPLICATION OF TREASURY SINGLE ACCOUNT ON BANKING SECTOR OF NIGERIA AND THE ECONOMY AS A WHOLE

 Format: MS WORD ::   Chapters: 1-5 ::   Pages: 76 ::   Attributes: Questionnaire, Data Analysis,Abstract  ::   3676 engagements

CHAPTER ONE INTRODUCTION 1.1 BACKGROUND TO THE STUDY Treasury Single Account is a public accounting system under which all government revenue, receipts and income and collected into one single acco...Continue reading »

TAXATION AS A TOOL FOR ECONOMIC DEVELOPMENT OF NIGERIA

 Format: MS WORD ::   Chapters: 1-5 ::   Pages: 71 ::   Attributes: Questionnaire, Data Analysis,Abstract  ::   3310 engagements

CHAPTER ONE INTRODUCTION 1.1 BACKGROUND OF THE STUDY Nigeria as a nation has the vision of becoming one among the world’s 20 largest economies in the year 2020; this obviously is the brain beh...Continue reading »

THE IMPACT OF COMPANY INCOME TAX REVENUE ON THE DEVELOPING ECONOMIES: THE NIGERIA EXPERIENCE

 Format: MS WORD ::   Chapters: 1-5 ::   Pages: 67 ::   Attributes: Questionnaire, Data Analysis,Abstract  ::   1495 engagements

The article on this topic (impact of company income tax revenue on the developing economies) is an extract from literature review of the project material. The complete project work would be made avail...Continue reading »

THE IMPACT OF TAX ON GOVERNMENT CAPITAL EXPENDITURE AND ECONOMIC GROWTH IN NIGERIA

 Format: MS WORD ::   Chapters: 1-5 ::   Pages: 65 ::   Attributes: Secondary data, Data Analysis,Abstract  ::   2724 engagements

The article on this topic (impact of tax on government capital expenditure and economic growth in Nigeria) is an extract from literature review of the project material. The complete project work would...Continue reading »

What are you looking for today?

TESTIMONIALS:

  • 1. Favour from Ui said "I must say a job well done...Thanx so much for being honest..I will surely introduce your platform to my friends...".
    Rating: Very Good
  • 2. Anderson from ABU said "thank you so much for great delivery. God will continue to bless you business. your website will always gain favour and growth from God...thank you".
    Rating: Excellent
  • 3. Adegboyega from ridwan said ""i like the confidence you guys installed in me. i never knew there are still some good people in Nigeria; my job was delivered on time as promised ".
    Rating: Excellent
  • 4. Oreokuwa Seun from KSU said "thank you for delivering as promised. though there was a one day delay but I got my work and it has great quality. Thank you Mr Donald. Thank you miss love. God bless you".
    Rating: Very Good
  • 5. Danladi Isa from ABU said "thank you uniprojectmaterials.com, all I can say is thank you for being reliable. I appreciate.".
    Rating: Excellent
  • 6. Mohammad I. Musa from UNIMAID said "Thank you guys for your honesty, i will introduce my friends to uniprojectmaterials.com, May God bless your team....".
    Rating: Good

Paper Information

Format:ms word
Chapter:1-5
Pages:70
Attribute:Data Analysis
Price:₦3,000
Get The Complete Project »

Best Selling Projects

Our Archives