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THE EFFECT OF PRIVATIZATION OF GOVERNMENT PARASTATALS ON NIGERIAN ECONOMY

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PROJECT TOPIC :THE EFFECT OF PRIVATIZATION OF GOVERNMENT PARASTATALS ON NIGERIAN ECONOMY

CHAPTERS: Chapter 1 – 5
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FORMAT: Ms Word

This study, THE EFFECT OF PRIVATIZATION OF GOVERNMENT PARASTATALS ON NIGERIAN ECONOMYcontains concise information that will serve as a framework or guide for your project work. The project study is well-researched for academic purposes and are usually provided in complete chapters with adequate References.

Keywords: PRIVATIZATION OF GOVERNMENT PARASTATALS

PROJECT BODY

CHAPTER ONE 1.1   INTRODUCTION

Privatization is a relatively new word not until about a decade ago, it made on prominent feature in the politics and economy of many countries. It is defined as the process of changing the ownership of government companies to private ownership through the sale of the shares of such companies to individual who will manage the companies efficiently and profitably.

Originally privatization was a feature of developed nations, they adopted privatization as more of a political rather than an economic policy.

The believe was that the private sector was more effective and efficient in managing the resources. Therefore, the government decides to sell public corporation to the  private sector which with its profit oriented motive was expected to perm better n running those companies and hence contributed more to the  economic development they belief the political stand of the government in power will be strengthened and consolidated with time.

However, the economic aspect of privatization it is has dominate the political aspect ad today it is adopted as a  major economic reform policy.

1.2STATEMENT OF THE PROBLEM

Nigerian economy has been at a low ebb since the 80’s with large debts and unprecedented high rate of unemployment retrenchment of workers which gives rise to a significant reduction in capacity utilization shortages of essential raw material, dwindling foreign exchange earnings and a continuous rise in inflation. Against this backdrop, statement of probes to be investigated shall include:

1.          Privatization of government parastatals its effect on Nigeria economy

2.          What are the benefits of privatization, is going to benefits all the citizens or not.

3.          Will privatization make the cost of utilities higher or reduce it.

4.          what is involved in the privatization of a major utility 9NEPA)

5.          Is it only the rich that would benefit from the  privatization (i.e in terms of buying of shares).

6.          Will government still have interest in the  privatized companies or not.

7.          Are we undertaking privatization to satisfy foreigners or not,

8.          How much money is the government  going to make from the privatization.

9.          How long is the  privatization programme going to last?

1.3   STATEMENT OF RESEARCH QUESTION

This shall in clued researchable question like:

1.          Is it only the rich that would benefit from the privatization? I.e. in terms buying shares.

2.          Will privatization the cost of utility higher?

3.          Why are we privatizing utilities like NEPA and NITEL when they are already commercialized?

4.          What been the experience of privatization in other developing countries?

5.          How much money is the  government going to make form privatization?

6.          How long is privatization programme going to last?

1.4   PURPOSE OF THE STUDY

The objective of this work is to examine the effect of the Nigerian economy as a whole. It is aimed at finding out the reason behind the adoption of the policy, how it is implemented and how the government intends to ensure its success and effectiveness. The two main sector of economy i.e. The public sector and the private sector the economy, their responds to the policy, its impact on them.

How the programme or policy is going to be implemented and also reducing the present hardship encountered in the  country due to inflation. And also whether this policy which  was of developed nations can solve the economic problems of developing nations.

1.5SIGNIFICANCE OF THE STUDY

This term paper work will be of importance and useful to the research students in al disciplines, the nations at large and privatized organization.

To the researcher to provides me with an insight” knowledge of the federal government dream and decisions for selling out unprofitable co-operation that gulps millions of the nations financial resources to the private hands.

To the student it can serve as a body of knowledge, a sources of secondary data and a base for conducting future research on related studies.

To the nation at large the is significance in that the policy concerns the populace and it will provide the citizen of Nigeria with a detail knowledge of the programme, it ‘s implication and government determination to solve this problem.

To the privatized organization the researcher will serve as a base for self auditing of their performance.

1.6SCOPE OF LIMITATION OF STUDY

For the purpose of this study the researcher will serve and discuss mainly on the implementation of the policy.

How it is going to include almost every citizen n the federation. How the shares will be allotted out i.e. how the shares will be advertised by the national council on privatization.

The time-table for the programme guidelines and also how the national council on privatization will supervise the implementation of the programe by the Bureau of public enterprise (BPE).

1.7   LIMITATION

In the execution of this study term paper, certain problems were encountered by the researcher. These were time factor, financial constraint and the availability of authentic resources.

The time limit within which the study has to be completed and submitted was itself in view of the fact that other academic work has to continue.

One of the major limitation of the study is getting the officers of various parastatals to provide information which are relevant for the attainment of the work on  term paper.

The last financial course not the least of the constraint was financial constraint.

Resource were scarce relatively to the need for them. Interview had to be adjoined on countless occasion for one reason or the other.

1.8   DEFINITION OF TERMS

CAPITAL MARKET:         The Nigerian stock exchange were shares are exchanged through buying and selling.

EQUITY:                  Ordinary share capital to an enterprises.

COMMERCIALIZATION: Commercialization involves

changing the way government owned companies operate to ensure that they run commercially  ad that they profit.

PRIVATIZATION:            privatization is the process of

changing the ownership of government companies (public enterprise) to private ownership through the sale of shares of such companies to individuals who will manage the companies effectively and profitability.

INDIGENISATION:          The process of transferring over

enterprises from foreign investors into private Nigerian investors.

PRIVATE ENTERPRISE: Enterprise owner or controlled ( by

shares) by private enterprise.

PUBLIC ENTERPRISE:   Enterprise owned or controlled (by

shares) by the government

QUOTED  INVESTMENT: shares of an enterprise listed on the

stock exchange

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