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Addressing the Challenges of Corruption for Attainment of Faster Growth in Nigeria

Addressing the Challenges of Corruption for Attainment of Faster Growth in Nigeria

 

Abstract: This paper examines the damaging effects of corruption on the Nigerian economy. Corruption raises transaction costs, lowers efficiency of public expenditure, discourages foreign direct investment and undermines everything the law enforcement community works toward, among other things. It flourishes under situations of lax standards and controls as well as undue rent-seeking behaviour. The prevalence, historical growth and determinants of corruption are also discussed in the paper. Attempts by successive governments to address the challenges of corruption in Nigeria are highlighted. If anything, past efforts lacked both the resolute political will and focused enforcement drive necessary to ‘kill’ corruption. The study considered some country experiences and a range of policy options for taming the corruption menace. It became clear that the war against corruption must be focused, total and holistic to achieve the desired outcome. Against this backdrop some policy recommendations are made as the way forward.

JEL classification: A13, 14; E03, G28

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