Imperatives of investing in human capital and innovation for a sustained entrepreneurial growth in Nigeria

Investment in innovation and human capital together with other business enhancing policies and infrastructures of a country are recognized as the key drivers of entrepreneurship growth of the economy. This study examines the imperatives of investment in human capital and innovation for entrepreneurship growth in Nigeria. Data from 2011 to 2022 were collected for the study. Structural Vector Autoregressive (SVAR) technique is used to estimate the collected data. The result indicates that there is a positive relationship between innovation investment and entrepreneurship growth. The study also discovered that there is a positive relationship between human capital development and entrepreneurship growth in the early period. The implication of the findings is that, investment in innovation and human capital development in Nigeria should be encouraged and taken as deliberate policy by the Nigeria government. The study recommends that more investments should be channeled into innovation activities such as R & D as well as, human capital development activities such as, quality education and training, also taking cognizance of other variables that compliment entrepreneurial growth like good governance and efficient legal framework.