Industrial Diversification, Employment and Rural Poverty Reduction in China and Nigeria
This study compares the impact of industrial diversification on employment and rural poverty reduction in China and Nigeria. The fact that both countries have the same poverty background and socio economic history makes it proper for them to forge closer ties so as to learn, with particular attention as to why one has failed in the area the other has succeeded—poverty reduction. Rural industrialization is not new in academic and business research. However, comparative impact assessment between China, the world’s most populous and fastest developing country, and Nigeria, the most populous and one of the resourceful nations in Africa has not yet been widely studied. The study is crucial given that China is currently engaged in a number of cooperation projects with Africa. Unemployment and poverty are perennial global problems. This study makes recommendations to deal with these problems. Using questionnaire and secondary data for statistical analysis and growth accounting method, the coefficients clearly indicate positive and significant relationship among industrial diversification, employment and poverty reduction. China’s aid to Nigeria would prosper on sharing of poverty reduction experience, encouraging agroindustrialization, joint research program and technical assistance on pro-poor smallholder development activities. The study concludes that Nigeria has not made enough investment in poverty reduction as in China, both countries have huge potentials for agro-allied industrial diversification, but China has achieved better success.
Key Words: Agro-Allied Industry, Industrial Diversification, Rural Development, Poverty Reduction, Employment, Non-Farm Enterprise, Nigerian Economy.