Implication of the Rising Debt Profile and Dwindling Revenue for Nigeria’s Public Health Expenditure

  • Vonke J. Dickson Department of Economics, University of Jos, Jos, Nigeria
Keywords: Debt, Revenue, Health Expenditure


This study investigated the implication of rising government debt and dwindling government revenue for public health expenditure in Nigeria, which is the study’s main objective. The study employed quantitative method of analysis, using the autoregressive distributed lagged (ARDL) model, as analytical technique. Aggregate government expenditure on health (proxy for public health expenditure) is the dependent variable, while debt, revenue and population (control variable) are the independent variables. Secondary data was used, sourced from Central Bank of Nigeria (CBN) and World Health Organisation (WHO). The main findings of the study are: the rising debt stock has negative, but insignificant impact on government health spending and aggregate government revenue’s impact on government health spending is positive, but insignificant also, while, population growth rate, has a negative and significant impact on government health expenditure. One of the key recommendations is that in order to protect health expenditure, Nigeria’s government at all levels should set borrowing rules (e.g. no borrowing unless in extreme circumstances such as recession, expected natural disaster etc.) if it must borrow and it should seriously avoid its debt turning into a burden.


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