Non-Oil Sectors, Economic Diversification and Growth in Nigeria: Further Empirical Evidence

Abstract The adverse consequences of over-reliance Nigerian economy on oil has continued to heighten the call and need diversify productive base towards non-oil sectors. To heed call, successive governments have implemented several economic policies at different periods. However, while contents these are plausible, full-anticipated benefits far from being realized. disappointing results been linked two principal factors: incoherent implementation neglect country-specific circumstances. Informed by take cognizance country’s peculiar circumstances, question as which priority sectors that Nigeria should target for diversification efforts come up in literature. Empirically, view natural resource abundance, studies suggested agricultural, industrial many others plausible options diversifying economy. In light this, study examines interactions among sectors, growth a multivariate VAR model over period 1960-2019. Empirical reveal an expansion activities into resource-based is necessary condition diversification; however, it not sufficient dimension matters.