Privatization and Commercialization of Public Enterprises and Economic Growth of Nigeria
Chapter One
OBJECTIVE OF THE STUDY
The objectives of the study are;
- To ascertain the relationship between privatization and commercialization of public enterprise and economic growth
- To understand the extent to which political, social and economic consequences of the policy is mutually supportive of direction and velocity
- To examine the significance of ownership (private or public as the source of business efficiency and success.
- To correct the impression created by some Nigerians who viewed privatization as a pernicious venture.
CHAPTER TWO
REVIEW OF RELATED LITERATURE
INTRODUCTION
For any research to be meaningful, it is important to review related literature. This will provide a clear perception of how the topic under consideration was treaded in the past and thus linking it with, present objectives of the research. For sake of convenience, we have divided this chapter into eight section, section one discuss the definition of privatization, section, two arguments in favour of privatization, section some empirical studies on privatization, section five privatization in banking industrial section sex bank privatization in Nigeria, in the initial posturing, section seven the rational for bank privatization, section eight privatization a cursory assessment
PRIVATIZATION
Privatization refer to selling public enterprise already owned by the state to private individual, business men so that owner shed structure should change to reflect private ownership. Privatization can be absolute partial, absolute one refers to a situation where the whole shares belonging to state are sold to private individual and government forfeit it share of ownership, while the partial one is wellthe government advertise and subsequently sale part of it share to public enterprises and vi. private businessmen. However there are various definition put forward by different scholars and writers on the topic. Denis (1958:10-12) says that privatization means to make private or to “convert from public to private ownership”, it define a transaction from one form to another. It should noted that, the private in privatization refers to sectors rather than persons hence privatization refer to the transfer of enterprises to private sectors interest. Cook and Lurth Patrick (1988:10) says that privatization reflect and public sector. For hemming and Mansoor (1988:p.31) privatization is the transfer of public sector, activities to the private sector, it takes various forms including management contract, management buyout, deregulation of owned enterprises. Section four of the privatization and commercialization decrees 25 of 1988 defines privatization as the relinquishment of part or all the equity and other interest held by the Federal government of it agencies in enterprises whether wholly of party owned by the government. In this case, the engage in the investment of it shares holding designated enterprises or part of it share holding. According to Nellis (1991:10) divestitures is another form of privatization, with involve a wide range of ownership the sale access leasing of arrangement or contracting out, in short privatization is a process of transferring of public owned enterprise to the private section, vi. which may be partial or complete out next test it give argue in favour of privatization.
CHAPTER THREE
RESEARCH METHODOLOGY
Research design
The researcher used descriptive research survey design in building up this project work the choice of this research design was considered appropriate because of its advantages of identifying attributes of a large population from a group of individuals. The design was suitable for the study as the study sought to privatization and commercialization of public enterprises and economic growth of Nigeria
Sources of data collection
Data were collected from two main sources namely:
(i)Primary source and
(ii)Secondary source
Primary source:
These are materials of statistical investigation which were collected by the research for a particular purpose. They can be obtained through a survey, observation questionnaire or as experiment; the researcher has adopted the questionnaire method for this study.
Secondary source:
These are data from textbook Journal handset etc. they arise as byproducts of the same other purposes. Example administration, various other unpublished works and write ups were also used.
Population of the study
Population of a study is a group of persons or aggregate items, things the researcher is interested in getting information on privatization and commercialization of public enterprises and economic growth of Nigeria. 200 staff of selected banks in Abuja were selected randomly by the researcher as the population of the study.
CHAPTER FOUR
PRESENTATION ANALYSIS INTERPRETATION OF DATA
Introduction
Efforts will be made at this stage to present, analyze and interpret the data collected during the field survey. This presentation will be based on the responses from the completed questionnaires. The result of this exercise will be summarized in tabular forms for easy references and analysis. It will also show answers to questions relating to the research questions for this research study. The researcher employed simple percentage in the analysis.
CHAPTER FIVE
SUMMARY, CONCLUSION AND RECOMMENDATION
Introduction
It is important to ascertain that the objective of this study was to ascertain privatization and commercialization of public enterprises and economic growth of Nigeria
In the preceding chapter, the relevant data collected for this study were presented, critically analyzed and appropriate interpretation given. In this chapter, certain recommendations made which in the opinion of the researcher will be of benefits in addressing the challenges of privatization and commercialization of public enterprises and economic growth of Nigeria
Summary
This study was on privatization and commercialization of public enterprises and economic growth of Nigeria. Four objectives were raised which included: To ascertain the relationship between privatization and commercialization of public enterprise and economic growth, to understand the extent to which political, social and economic consequences of the policy is mutually supportive of direction and velocity, to examine the significance of ownership (private or public as the source of business efficiency and success, to correct the impression created by some Nigerians who viewed privatization as a pernicious venture. In line with these objectives, two research hypotheses were formulated and two null hypotheses were posited. The total population for the study is 200 staff of selected banks in Abuja. The researcher used questionnaires as the instrument for the data collection. Descriptive Survey research design was adopted for this study. A total of 133 respondents made up HRMS, customer care officers, marketers and junior staff were used for the study. The data collected were presented in tables and analyzed using simple percentages and frequencies
Conclusion
Based on the available data and findings of this study, the important of privatization programme in the banking industry cannot be underestimated. All banking industry welcome privatization programme because the programme not only increase in turnover of the industry, but it also improves the quality of good and service. The conception that privatization programme brings about exorbitant pricing replacement of public monopoly with private monopoly should be discarded. Implementation of privatization programme have noted to be very vital not only the, equity holders Who are more in maximizing profit but also to customers who enjoyed good services.
Recommendation
It is recommended that for sound and effective viability of the banking industry the modalities adopted by the technical committee on privatization should be based on the economy. Considered the development level of the nation times of socialization, population, size, literacy and geographical factor, it is advisable that adequate publicity both in the input and electronic media to create adequate awareness and acceptability. If property understood, privatization would have the desire achievement required.
REFERENCES
- Aylen J. (1987) Privatization in Developing Countries Sank Review 163.
- Salomi U. (1980) Public Enterprises in a Mixed Economy St. Martin, New York. Cole G.A (1990) Management Theory and Practice (3rd edition) Pitman, London .
- Cook and Patrick (1988) Privatization .in Less Developing Countries Pitman London.
- Dennis fill (1985) The Rational For Privatization and Commercialization CBN Bullion V.12 Hamming and Mansur is Privatization the Answer? Second Edition Africa
- Fed Publishers Onitsha (1988) Odife D.D (1988) Privatization in Nigeria Onibonje Press Ibadan, Nigeria
- Okun A. (1995) Equity and Efficiency the Big Trade off Washington D.C.6.
- Federal Republic of Nigeria FGN (1988). Privatisation and Commercialisation Decree No. 25 of 1988
- Federal Republic of Nigeria (1993). The Presidency Technical Committee on Privatization and Commercialization, Final Report Vol.1 [Main Report]
- Hanson, A. H. (1972). Public Enterprises and Economic Development. London: Toutledge and Kegan Paul.
- Hemming, R., and A. Mansor. (1988). Privatisation and Public Enterprises‟. IMF Occasional Paper (56): 1-22. Washington, DC: International Monetary Fund.
- Hemming, R. E. and A. Mansor (1988b). Is Privatization the Answer? Finance and Development, 25(3), 31-33.
- Kalu, I. K. (1999, December, 29). Modalities for Privatizing State Enterprises. The Guardian.
