IMPACTS of Economics of Globalization of Gross Domestic Contribution of the Maritime Transport Sector in Nigeria

Abstract

This study evaluated the impact of economic globalization on the maritime sector's contribution to Nigeria's Gross Domestic Product (GDP). The primary objective was to determine how economic globalization influenced the maritime transport sector's GDP contribution between 2005 and 2019. The research employed a quantitative methodology utilizing time series secondary data. Data on the maritime transport sector's GDP contribution spanning 15 years (2005-2019) was obtained from the Central Bank of Nigeria Statistical Reports. The KOF economic globalization indices, comprising trade globalization de facto, trade globalization de jure, financial globalization de facto, and financial globalization de jure for Nigeria, were sourced from the International Monetary Fund (IMF) database for the same period. Analysis was conducted using log-linear multiple regression methodology. The findings revealed a significant relationship between economic globalization and the maritime transport sector's contribution to Nigeria's GDP during the study period. The relationship between economic globalization (measured by the KOF economic globalization indices) and maritime transport GDP can be expressed by the following equation: InGDPmaritime = 5.016 - 1.21InKOFTRGlDf + 0.503InKOFTRGlDj + 1.623InKOFFGlDj + 0.672InKOFFGlDf. where: InKOFTRGlDf represents trade globalization de facto; InKOFTRGlDj represents trade globalization de jure; InKOFFGlDj represents financial globalization de jure; InKOFFGlDf represents financial globalization de facto; Policy implications were analyzed, and recommendations were formulated based on the study's findings.