The role of agricultural financing and food security on economic growth in Nigeria

Abstract

This paper looks at the implications of agricultural financing, food security and Nigeria’s economic growth. Scope of the study was from 1981 to 2024 while the data was sourced from the Central Bank of Nigeria (CBN)Statistical bulletin 2024 and World Development Indicators (WDI). Autoregressive Distributed Lag (ARDL) was used to run the regression. The variables used in the study includes the food production index, credit to agriculture, agricultural output, inflation rate, interest rate and gross capital formation. The results showed that agricultural financing and food security had a positive impact on the economic growth at the short run and a negative impact in the long run and the recommendations is for the government to fund the Nigerian agricultural sector, insecurity must be reduced in order to facilitate food security and exchanged rate must be well managed to facilitate agricultural productivity in the economy.