Impact of Terrorism on Nigeria’s Economic Growth from 1990-2023

The study investigated the impact of terrorism on Nigeria’s economic growth from 1990-2023 by observing the extent of the impact of terrorism (TERR) and other variables such as capital stock (CPST), defense spending (DEFS), labour force participation rate (LFPR) and inflation (INFL) on economic growth of Nigeria. These variables were sourced from institute for economic and peace (IEP): Global economic index, and World Bank data portal. The study employed the Ordinary Least Square (OLS) regression but, with Auto-Regressive Distributive Lag (ARDL) model as the major tool for parameter estimations. The results of both the long run and short run ARDL models revealed both TERR and INFL having negative relationships with economic growth with TERR significant and INFL insignificant, implying that terrorism and inflation impact negatively on economic growth in Nigeria. The findings also showed a positive relationship between CPST, DEFS, LFPR and economic growth both in the long run and short run but, not significant in all cases. These variables impacted positively on economic growth in Nigeria. The study recommended thorough and strict monitoring of security fund disbursement, training of the labour force among others.