The study investigates the relationship between foreign direct investment
flows and economic growth in Nigeria. The study became necessary because
as never before, the civilian governments since 1999 have employed several strategies
to ensure increased flow of FDI into Nigeria because of its perceived benefits
as lauded in the theoretical literature as the panacea for economic underdevelopment.
The study utilized simple OLS regression analysis and conducted various
econometrics tests on our model so as to obtain the best linear unbiased estimators.
The study confirmed the beneficial role of FDI in growth. However, the
role of FDI on growth could be limited by human capital. The study concluded
that indeed, FDI promotes economic growth, and hence the need for more infrastructural
development, ensuring sound macroeconomic environment as well as
ensuring human capital development is essential to boosting FDI productivity and
flow into the country