Abstract

Nigeria is the most populous country in Africa and the eight most populous nation in the world. She is currently the largest economy in Africa. Nigeria is considered to be relatively wealthy in terms of oil reserves; however, the level of poverty is still very high because of corruption and mismanagement. This study investigates the impact of public health expenditure on health outcomes in Nigeria, 1985–2019. Empirical results from the Classical Regression Analysis reveal that health expenditure by the government reduces under-5 mortality rate significantly and improves life expectancy. Furthermore, immunization against measles was found to reduce under-5 mortality rate, while prevalence of HIV reduces life expectancy. The study therefore recommends that there is need for government expenditure on health to be targeted at areas that will improve health outcomes significantly. With adequate funding and proper monitoring, a resource-abundant nation like Nigeria, can become healthier. However, if this is not done, the wealthy may not be healthy after all.

Highlights

  • IntroductionThe major goal of many economies in the world is to achieve sustainable economic growth and development

  • Background and MotivationThe major goal of many economies in the world is to achieve sustainable economic growth and development

  • The results indicate first that public health expenditure is associated with an improvement in life expectancy and it contributes to reduction in under-5 mortality and infant mortality rate in sub-Saharan African countries

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Summary

Introduction

The major goal of many economies in the world is to achieve sustainable economic growth and development. To accomplish this goal, certain variables which have the capacity of helping the economy to grow and develop will have to be put in place. Good health has been seen as one of the important variables and necessary conditions for the attainment of growth and development of any economy (Hlafa et al, 2019; Ogunjimi & Adebayo, 2018). Nigeria is the most populous country in Africa and the eight most populous nation in the world. The country was ranked 27th largest economy in terms of nominal GDP and 24th largest in terms of purchasing power parity in the world with debt to GDP ratio of 16.075% in 2019 by the World Bank

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