Drivers of poverty in oil producing communities of southern Nigeria

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Nsikak-Abasi A. Etim
Jamal Mohammed
Nathan Kanuma Taremwa
صندلی اداری

Abstract

The oil-producing communities generate more than 80 percent of Nigeria earnings from crude oil. Unfortunately, the oil has not shown enough prosperity in the oil-producing communities as the standard of living of the people is worsening by the day with little attention to the provision of infrastructure. Besides, there is evidence of widespread and abject poverty among the inhabitants of the oil-producing communities. An inclusive policy to harness the potentials of such communities requires the knowledge of the factors influencing their poverty levels. This study estimated the factors influencing the poverty of inhabitants in the oil-producing communities of southern Nigeria. Using multistage sampling procedure, 120 representative households were chosen and information was obtained with the help of structured questionnaire. In order to find what determines poverty, an altered reversal model comprising 15 regressors was used in the analysis. The results revealed that most critical factors influencing poverty in the communities were dependency ratio, farm size, experience in farming, farm income, level of knowledge gained, the gateway to extended services, modern farming inputs, and having the opportunity a to health facility. Increasing the size of cultivable hectarage either through land consolidation or expansion of existing farmland and improving the educational level of inhabitants of the oil communities are rational policy decisions that could reduce poverty and improve their quality of life.

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Author Biography

Jamal Mohammed, Koforidua Technical University

Liberal Studies Department, Lecturer

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