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CHAPTER ONE
INTRODUCTION
1.1 Background of the study
Corruption is a global problem and no country of the world is totally free of its menacing grip. It has been seen as a structural problem of political, economic, cultural and an individual’s malaise. Although corruption remains a global challenge to the quest for development and welfare, it is a recurring theme in the African discourse. It has affected many countries all over the world especially the developing countries. The Nigerian scenario and experience provides a useful or global illustration of the nuances surrounding corruption and how it interfaces with the state and the struggle for development. Nigeria is the most populous country in Africa and a very important oil producer. However, it has been struggling to decrease unemployment, income inequality and its dependence on oil. Therefore, an axiom that Nigeria is richly endowed by providence with human and material resources critical for national development and advancement is toothless. This is because, it is widely accepted that the misappropriation of public funds and asset by corrupt elites has been a major cause of Nigeria’s underdevelopment. Nigeria scores poorly on Transparency International’s Corruption Perception Index as it gained two points in 2014 as compared to 2013 receiving a score of 27 on a scale from 0 (most corrupt) to 100 (least corrupt). The country was therefore, ranked the 38th most corrupt country in the world (that is, 136th out of 175 countries assessed). Nigeria is often classified as a neo-patrimonial prebendalism state and these particular characteristics have serious implications on the social mechanisms enabling corruption in the country. Patrimonialism is defined as a social and political order where patrons secure the loyalty and support of clients by granting benefits from their own or state resources while neo-patrimonialism gives rise to a ‘hybrid’ state which often fails to guarantee the universal and fair distribution of public resources. Corruption in Nigeria manifest itself in different ways, both on a micro and macro level, and it occurs at all levels of society. According to the report by Amundsen, the types of corruption in Nigeria are; rent-seeking, embezzlement, conflict of interest, bribes and kickbacks, nepotism and cronyism, corruption in provision of services, political patronage, and electoral corruption, among others. The 1999 constitution of the Federal Republic of Nigeria provides the motto of the country which is Unity and Faith, Peace and Progress. This is because, every society needs to define its values and engage in activities that will sustain those set of values. However, there has been a lot of indiscipline in every face of life in Nigeria. Among them are; lack of integrity, corruption, the get-rich-quick syndrome and pursuit of easy money which has reduced the dignity of labour, religious intolerance, none respect for the country in terms of our institutions and national symbols. This necessitated the great need for value re-orientation. As quoted by Okoroafor and Njoku, value re-orientation is aimed at inculcating good values that can help Nigeria out of her numerous predicaments which can refocus the nation toward greatness. The Nigerian government has therefore put in place several efforts to orientate Nigerians to imbibe and instill the culture of virtue and to shorn immoral acts. The government has made some efforts and different strategies to curb corruption in the country, For instance, the introduction of War Against Indiscipline (WAI) by Buhari to change the immoral attitude of Nigerians for better, the introduction of Economic and Financial Crime commission (EFCC) to check corruption in the country, and other agencies such as; Independent Corrupt Practices and Other Related Offences Commission (ICPC) to ensure ethical and moral values by restoring the good moral values inherent in the traditional society. But Odey and Ashipun noted that most of these policies made by the Nigerian government are still altered by the custodian of power and authorities in the state. In the vein, Ughorojeh lamented that while all successive governments have been time and care to identify and condemn the evil corruption plaguing the Nigerian economy, not much efforts has been made to combat it. Similarly, Onoge noted that corruption has persisted in the country despite efforts to rout it out, noting that its rate and scale increased enormously in the oil boom days. Recently, the Nigerian government has also set up strategy or fight against corruption under the leadership of Buhari with stringent penalties put in place for offenders. According to Odey and Ashipu, ethics is intrinsically related to morality and it is also related to religion which is a product of people’s culture. Thus, considering the intensity of government efforts in instilling discipline and eradicating corruption in Nigeria in order to transform Nigeria has informed this study.
1.2 STATEMENT OF THE PROBLEM
Corruption is defined and perceived across a spectrum of illegal payments and transactions such as bribes, embezzlement, and money laundering among others. However, there has been a lot of indiscipline in every face of life in Nigeria. Among them are; lack of integrity, corruption, the get-rich-quick syndrome and pursuit of easy money which has reduced the dignity of labour, religious intolerance, none respect for the country in terms of our institutions and national symbols. These have huge effect on the Nigeria economy.
1.2 OBJECTIVE OF THE STUDY
The main objective of this study is the impact of war against corruption to the economy of Nigeria. But for the successful completion of the study; the researcher intends to achieve the following sub-objectives;
1. To ascertain the effect of corruption on the Nigeria economy
2. To ascertain whether corruption causes recession in Nigeria
3. To ascertain effective of anti corruption agencies like EFCC, ICPC etc in Nigeria
4. To ascertain the significant relationship between corruption and economy of Nigeria
1.4 RESEARCH HYPOTHESES
For the successful completion of the study, the following research hypotheses were formulated by the researcher;
H0: there is no effect of corruption on Nigeria economy
H1: there is effect of corruption on Nigeria economy
H02: there is no significant relationship between corruption and economy of Nigeria
H2: there is a significant relationship between corruption and economy of Nigeria
1.5 SIGNIFICANCE OF THE STUDY
It is believed that at the completion of the study, the findings will be of benefit to entire Nation. The study will come with strategies to fight against corruption in Nigeria. The study will also be of great benefit to the researchers who intends to embark on research on similar topics as it will serve as a guide. Finally, the study will be of great importance to academia’s, lecturers, teachers, students and the general public.
1.6 SCOPE AND LIMITATION OF THE STUDY
The scope of the study covers the impact of war against corruption to the economy of Nigeria. The researcher encounters some constrain which limited the scope of the study;
a) AVAILABILITY OF RESEARCH MATERIAL: The research material available to the researcher is insufficient, thereby limiting the study
b) TIME: The time frame allocated to the study does not enhance wider coverage as the researcher has to combine other academic activities and examinations with the study.
c) Organizational privacy: Limited Access to the selected auditing firm makes it difficult to get all the necessary and required information concerning the activities.
1.7 DEFINITION OF TERMS
WAR: War is a state of armed conflict between societies. It is generally characterized by extreme aggression, destruction, and mortality, using regular or irregular
CORRUPTION: Corruption is a form of dishonest or unethical conduct by a person entrusted with a position of authority, often to acquire personal benefit. Corruption may include many activities including bribery and embezzlement, though it may also involve practices that are legal in many countries
ECONOMY: The state of a country or region in terms of the production and consumption of goods and services and the supply of money.
1.8 ORGANIZATION OF THE STUDY
This research work is organized in five chapters, for easy understanding, as follows
Chapter one is concern with the introduction, which consist of the (overview, of the study), historical background, statement of problem, objectives of the study, research hypotheses, significance of the study, scope and limitation of the study, definition of terms and historical background of the study. Chapter two highlights the theoretical framework on which the study is based, thus the review of related literature. Chapter three deals on the research design and methodology adopted in the study. Chapter four concentrate on the data collection and analysis and presentation of finding. Chapter five gives summary, conclusion, and recommendations made of the study.
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