The study investigates the relationship between foreign direct investment and domestic investment in Nigeria. This investigation is imperative because Nigeria as a country, given her natural resource base and large market size is expected to be a major recipient of foreign direct investment in Africa and one of the top leading African that ought to consistently attract foreign direct investment. However, the level of foreign direct investment inflows to Nigeria is low when compared with her resource base and potential need. In an attempt to achieve the broad objective of this study, two econometric models were formulated to capture relationship between domestic investment and foreign direct investment in Nigeria. Annual time series data for the study were collected from Central Bank of Nigeria Statistical Bulletin for the period of 1980 to 2014.. The ordinary least square multiple regression was adopted for the estimation of the regression model formulated and the result of the model was facilitated using the Econometric View (E-View). The result of the analysis shows clearly that foreign direct investment and exchange rate exerts a significant positive impact on gross domestic investment in Nigeria. The result also showed that industrial output exerts a significant negative impact on gross domestic investment (GDI) in Nigeria. Among others, the study recommended that government should implement policies and programmes that will stabilize exchange rate as well as increase export and a reduction in importation to enhance the accumulation of domestic investment in Nigeria.
TABLE OF CONTENT
CHAPTER ONE: INTRODUCTION
1.10 Background to the Study
1.11 Statement of the Problem
1.12 Research Questions
1.13 Objectives of the study
1.14 Research Hypotheses
1.15 Sources of Data and Basic Methodology
1.16 Justification of the Study
1.17 Scope of the Study
1.18 Plan of the Study
1.19 Definition of Terms
CHAPTER TWO: LITERTURE REVIEW
2.1 Conceptual Review
2.1.1 Foreign direct Investment
2.1.2 Rationale for Attracting Foreign Direct Investment
2.1.3 Types of Investment
2.1.4 Domestic investment
2.2 Theoretical Review
2.2.1 Product Life-Cycle theory
2.2.2 Monopolistic Advantage Theory
2.2.3 The Eclectic paradigm
2.3 Empirical Review
2.3.1 Evidence from Developed economies
2.3.2 Evidence from Developing economies
2.3.3 Evidence from Nigeria
CHAPTER THREE: METHODOLOGY
3.1 Research Design
3.3 Nature and Sources of Data
3.4 Model Specification
3.5 Method of Evaluation
CHAPTER FOUR: DATA PRESENTATION AND ANALYSIS
4.1 Data Presentation
4.2 Presentation of Result
4.3 Interpretation and Analysis of Result
4.4 General Discussion
CHAPTER FIVE: SUMMARY, CONCLUSION AND RECOMMENDATIONS
5.1 Summary
5.2 Conclusion
5.3 Recommendations
REFERENCES
APPENDIX
