THE EFFECT OF PRIVATE SECTOR IN THE ECONOMIC DEVELOPMENT OF AKWA IBOM STATE

THE EFFECT OF PRIVATE SECTOR IN THE ECONOMIC DEVELOPMENT OF AKWA IBOM STATE (A CASE STUDY OF INTERNATIONAL MAINTENANCE AND FINANCE INSTITUTE, IMFI, UYO)

CHAPTER ONE

1.0     INTRODUCTION

Private sector unlike the public sector is gradually making rapid changes in the society; private sectors are owned and managed by individual or group of people that are non-governmental. Private sectors have demonstrated an unquestionable historic persistence they have also suffered a fair of persistence of historic questioning. Private organizations are trying to pull Nigerians out of the present economic menace, if private sector has done well in Japan, India and South Korea, it will improve the economics of Nigeria, most especially now that Nigeria economy has begun to change for better and the environment. It is against this background that this research work is carried out with its basic focus on the private sector in the economy development of Nigerian even of Akwa Ibom State which the International Management and Finance Institute (IMFI) would be taken as a case study.

1.1     HISTORICAL BACKGROUND OF THE STUDY

The International Management and Finance Institute (IMFI) were established in 1998 as an authoritative professional tertiary institute to prepare candidate for internationally recognized professional examination. The institution was granted formal approval by the ministry of education. The institute is daily accredited institute by centre for management and development as a human resource development (HRO) of recent, International Management and Finance Institute (IMFI) obtained approval to operate as an innovation enterprise institute by the Federal ministry of Education. IMFI is been enlisted in the Polytechnic Jamb Brochure. International Management and Finance Institute (IMFI) focus on empowering manager and excellence driven such that they command clear advantage in seeking for positions in Multinational established.

1.2     STATEMENT OF THE PROBLEM

Akwa Ibom State is generally referred to as a civil service state, very few Akwa Ibom indigenes are involved in entrepreneurship activities. Most people in the state prefer paid employment and since there are very few private firms that can provide satisfactory employment, most salary earners in the state do so from the public service. The state public service is bloated consuming a significantly high portion of revenue accruing to the state thus hampering infrastructural development. Owing to the army of unemployed graduates that struggle for the few and irregularly available job position in the public service, some unethical practices such as undue favoritism and outright bribery are often seen to characterize employment in the state.

1.3     OBJECTIVES OF THE STUDY

The objectives of the study are:

1. To suggest strong measures towards improving the private sector of the economy.
2. To identify and examine critically the problems encountered by the private sectors.

• It is also aimed at unavailing the cause of such problem to contributory factors the general and specific effect of the problem of private sector.

1.4     SCOPE OF THE STUDY

This research work was restricted the role of the private sector in the economic development of Akwa Ibom State using the International Management and Finance Institute (IMFI) as a case study.

1.5     SIGNIFICANCE OF THE STUDY

The importance of this study is.

1. It will make the private sector to work meaningful toward economic development of the state.
2. It will also provide useful information to the government to know where and how to come in and encourage the private sector.

• The state government through its ministry of economic development would benefit in identifying the factors that inhibit private sector development in the state and in indentifying effective strategies for overcoming the problem.

1. Educators and students would benefit in gaining knowledge about factors that inhibit private sector development in the state and strategies that could be adopted to tackle the problem.

1.6     RESEARCH QUESTIONS

Based on this study the following questions were made:

1. Are there any vital role played by International Management and Finance Institute (IMFI) toward economic development of Akwa Ibom State?
2. How do the management of that institution empower private sector?
3. What factors inhibit private sector development in Akwa Ibom State?
4. What strategies can be adopted to vitalize the private sector economy of Akwa Ibom State?
5. Is the private sector of the economy make any contribution to the growth of the entire economy?
6. Would the economic development of Akwa Ibom State be retarded without the active instrument of the private sector?
7. Does any relationship exist between the private sector participation and economic development of the State?
8. Can it be concluded that Nigeria cannot economically develop without the private sector?
9. Do you think there is any solution to the problem mentioned?
10. To what extent is the private sectors organization instrument to the economic growth and development of Akwa Ibom State?

1.7     RESEARCH HYPOTHESIS

The following hypotheses were tested at 0.05 level of significance.

• There is no significant relationship between private sector and economic development of Akwa Ibom State.