THE IMPLICATIONS OF NIGERIA'S SOVEREIGN WEALTH FUND FOR SUSTAINABLE ECONOMIC GROWTH

Abstract

Sovereign wealth funds (SWFs) have gained significance in recent times due to their potential impact on economic growth. This study evaluates the impact of Nigeria's sovereign wealth fund on sustainable economic growth using the Nigerian Infrastructural Fund, Future Generation Fund, and Stabilization Fund as substitutes for SWFs. The study employed the ARDL technique of analysis and unit root tests to avoid erroneous regression results. The results of the study reveal a significant relationship between Nigeria's sovereign wealth fund and sustainable economic growth, with the Nigerian Infrastructure Fund, Stabilization Fund, and Future Generation Fund having a considerable impact on GDP. The study also highlights the challenges posed by political and economic pressures on the growth sustainability of the sovereign wealth fund. The findings of this study are significant, as they provide insights into the roles, obligations, and duties of SWFs and evaluate SWFs' impact on Nigeria's sustainable economic growth to fill a research gap