Impact of Developments in Telecommunications on Poverty in Nigeria

Abstract

This study tried to ascertain the impact of developments in telecommunications on household Poverty level in Nigeria through its impact on household per capita income, small business turn over employment and health, using cross-sectional data from a nationwide survey.  Two states were selected from each of the six geo-political zones in the country and in each state, a sample of 1 000 households were selected, making a total sample size of 12 000. The estimation was carried out using a probit model. The results of both the regression and marginal impact analysis generally suggest that developments in telecommunications to a very large extent have a positive impact on poverty reduction in Nigeria. This lead to the recommendation that the Nigerian Communications Commission should try and see that there is increase in development of the telecom sector through liberalization and deregulation.

Keywords: Nigeria, poverty reduction, probit model, marginal impact, liberalization.